UK's Trade Deficit Expands Significantly in Q2

The United Kingdom's trade deficit has widened by £1.7 billion to £9.2 billion in the second quarter of 2025, according to the latest report from the Office for National Statistics (ONS). This marks a concerning trend for the UK's economic outlook.

Goods and Services Trade Imbalance

The deficit in goods trade surged by £5.8 billion to £61.1 billion, while the services surplus saw an increase of £4.1 billion to £51.9 billion. This highlights a growing imbalance between the UK's import and export sectors.

Impact of US Tariffs

Exports to the United States fell sharply by £4.7 billion, a direct consequence of the tariffs imposed by the US on UK goods. This development poses significant challenges for UK exporters and the broader economy.