UK current account deficit widens to £23.5 billion in Q1

The UK’s current account deficit rose to £23.5 billion in the first quarter of 2025, up from £21 billion in the previous quarter, according to data released by the Office for National Statistics. The figure came in worse than economists’ expectations, which had pointed to a deficit of £19.7 billion.

Breaking down the numbers, the trade in goods recorded a deficit of £55.3 billion, while the surplus in services stood at £47.8 billion. Overall, the trade balance showed a shortfall of £7.5 billion.

The wider current account gap highlights continued pressure on the UK’s external position, amid ongoing geopolitical tensions, international tariffs, and subdued global demand.