The UK’s trade deficit narrowed to £2.82 billion in December 2024, down from a revised £4.35 billion in November, marking the smallest trade gap since September.
UK trade deficit shrinks to £2.82 billion
Imports dropped by 1.5% month-on-month to £71.88 billion, hitting a three-month low, while exports increased by 0.7% to £69.06 billion, reaching a four-month high.
Goods imports fell by 3.0%, with non-EU imports down by 1.8%, mainly due to a £0.4 billion reduction in material imports, particularly from China and Switzerland. EU imports declined by 3.3%, primarily driven by a drop in machinery and transport equipment imports, including cars from Germany. Conversely, services imports rose by 1.5%.
UK exports steady, EU drops
On the export side, goods exports remained steady at £28.80 billion, with exports to non-EU countries rising by 3.5%. In comparison, exports to EU countries fell by 3.6%, mainly due to a £0.4 billion decline in machinery and transport equipment exports to Germany and France. Services exports increased by 1.2%.
