UK external trade account worsens

The UK trade numbers illustrate the growing economic crisis. Both exports and imports are falling. However, exports are falling faster than imports.

The UK’s deficit on trade in goods and services was £4.5 billion in November, compared with the deficit of £3.9 billion in October. The trade account also deteriorated, rising to £8.3 billion, compared with of £7.6 billion in October

The lack of growth in exports is surprising, not least because sterling has fallen through the floor over the last 18 or so months. UK exports are now much cheaper, and in principle, we should have seen at least a limited pick up in export demand. For some reason, it simply hasn't happened.