Britain’s trading performance delivered a mixed picture in July, with both exports and imports of goods increasing during the month while the wider 3-month trade deficit narrowed. The latest figures point to continued movement across Britain’s international supply chains, with trade flows to European Union (EU) and non-EU markets developing at different speeds.
Figures published by the Office for National Statistics (ONS) reflect that the value of UK goods exports increased by £0.9 (USD 1.206) billion, or 2.8%, between June and July 2026. Goods imports also advanced, rising by £1.3 (USD 1.742) billion, or 2.4%.
Excluding precious metals, goods exports reached £33.9 (USD 45.426) billion in July, while imports stood at £55.3 (USD 74.102) billion. The resulting monthly goods deficit was £21.4 (USD 28.676) billion.
The figures also reveal a significant difference between the two main geographical components of Britain’s goods trade. Exports to the EU increased by £0.8 (USD 1.072) billion, or 5.2%, during July, reaching £16.7 (USD 22.378) billion. Exports to non-EU countries rose more modestly, increasing by £0.1 (USD 0.134) billion, or 0.6%, to £17.2 (USD 23.048) billion.
On the import side, the pattern was reversed. Goods imports from non-EU countries increased by £1.7 (USD 2.278) billion, or 6.7%, to £27.3 (USD 36.582) billion. Imports from the EU fell by £0.4 (USD 0.536) billion, or 1.4%, to £28 (USD 37.52) billion.
The distinction between monthly goods figures and the broader trade picture is important. Looking across the 3 months to July provides a less volatile indication of the direction of Britain’s international trade.
During that period, total exports of goods and services reached £244.1 (USD 327.094) billion, compared with imports of £253.1 (USD 339.154) billion. That left a combined trade deficit of £9 (USD 12.06) billion, £1.1 (USD 1.474) billion narrower than in the 3 months to April.
Exports grew faster than imports over the 3-month period, driving the improvement. Total exports increased by £6.1 (USD 8.174) billion, while imports rose by £5 (USD 6.7) billion.
Services continued to provide an important counterweight to Britain’s substantial deficit in physical goods. The UK recorded an estimated services surplus of £52.6 (USD 70.484) billion in the 3 months to July, an increase of £0.7 (USD 0.938) billion compared with the previous 3-month period. Services exports rose by an estimated £1.4 (USD 1.876) billion, while services imports increased by around £0.7 (USD 0.938) billion.
That continuing services strength is significant for the structure of the British economy. Professional and business services, financial services, travel, telecommunications, computing and information services, and intellectual-property-related activities all contribute to Britain’s international earnings.
The government’s latest UK Trade in Numbers publication puts the value of Britain’s total trade over the 12 months to the end of July at £1.959 (USD 2.62506) trillion, an increase of 4.8% compared with the preceding 12-month period. Exports accounted for £953.6 (USD 1,277.824) billion, while imports totalled £1.0057 (USD 1.347638) trillion.
The July data also arrive during a period of active development in Britain’s international trading relationships. On 15 July, the UK-India free trade agreement entered into force, opening a new phase in commercial relations between the two economies. The British government aims to reduce barriers, improve market access, and expand opportunities for companies in both countries through the agreement.
Meanwhile, the government has been seeking business input on potential more profound trading relationships with Indonesia, the Philippines, the United Arab Emirates (UAE) and Uruguay, alongside Britain’s participation in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership.
The detailed HM Revenue & Customs goods figures provide another perspective. On the broader goods measure, which includes non-monetary gold, July exports were £37.4 (USD 50.116) billion, while imports reached £67.4 (USD 90.316) billion. Imports therefore exceeded exports by £29.9 (USD 40.066) billion for the month. The HMRC figures also reflect that non-EU imports rose substantially during July, while EU imports declined.
The difference between these figures and the ONS headline series reflects methodological distinctions, including the treatment of precious metals. ONS specifically excludes non-monetary gold and other precious metals from its main underlying trade analysis because their movements can be unusually large and volatile.
For British manufacturers, exporters and logistics operators, the July numbers therefore offer a nuanced picture rather than a single directional signal. Demand from European markets strengthened for goods exports, while non-EU imports increased considerably. At the same time, Britain’s services economy continued to generate a sizeable international surplus.
The coming months may reflect whether the stronger 3-month export performance can be sustained. The next ONS UK trade release, covering August 2026, is scheduled for 15 October. Until then, the July figures suggest that Britain’s international trade position remains characterised by strong services earnings, a persistent goods deficit and shifting flows between European and global markets.
