In August, the trade deficit of the UK rose more than forecast, while construction output fell at the fastest pace since 2012, emphasizing the economic slowdown.
According to the Office for National Statistics, the trade deficit of goods amounted to 11.1 billion pounds compared with the upwardly revised rate in July, 12.2 billion pounds. Economists in a Bloomberg survey forecast a decline to 9.9 billion pounds. Construction output fell by 4.3 percent compared with the forecast growth of 1 percent.
Slowing global growth and a strong start to the British pound adversely affect companies in the country, and that was one of the reasons for the officials of the Bank of England to leave interest rates at a record low.
Net trade - the largest contribution to the expansion of the UK economy in the second quarter - is likely to keep the economic growth in the third quarter. In the period from June to August, the deficit of goods and services rose to 8.1 billion pounds.
Exports UK rose by 3.5 per cent compared with July, while imports fell by 0.7 percent. The trade deficit in July was revised up to a maximum level since December last year.
Against the background of the surplus of services, the overall trade deficit narrowed to 3.3 billion pounds, the report said the ONS. Economists had forecast a deficit of 2.2 billion pounds.
According to the materials WELTRADE