The deficit on trade in goods and services widened to £3.7 billion in February 2017 from a revised deficit of £3.0 billion in January 2017, predominantly due to an increase in imports of erratic goods; excluding erratic goods, the trade deficit narrowed to £2.5 billion in February 2017 from a revised deficit of £3.0 billion in January 2017.

In the 3 months to February 2017, the deficit on trade in goods and services narrowed to £8.5 billion, reflecting a higher increase in exports than imports, mainly due to increases in exports of machinery and transport equipment, oil and chemicals; the deficit on trade in goods excluding oil and erratic commodities widened in the 3 months to February, continuing the trend seen in the rolling 3-month period since August 2016.

Trade prices continue to be influenced by recent sterling movements, with export and import prices falling between January and February 2017, coinciding with an increase in volumes.