Balance of Trade

HC Deb 16 July 1996 vol 281 cc452-3W

Mr. Austin Mitchell

To ask the Chancellor of the Exchequer if he will make a statement on the trends in the balance of trade in goods in(a) the last three months and (b) the equivalent period in 1995. [37485]

Mrs. Angela Knight

The deficit on trade in goods was erratically low early last year. Despite fluctuations, there has been no obvious trend in the deficit over the past five years. In 1994 and 1995 the deficit on trade in goods was more than offset by surpluses on trade in services and overseas investment income.

Mr. Mitchell

To ask the Chancellor of the Exchequer what has been the change in the United Kingdom balance of trade in goods for each year since 1992; and what factors underline this trend. [37490]

Mrs. Knight

In 1993, the trade deficit on goods widened by £0.4 billion compared with 1992. It then narrowed by £2.6 billion in 1994 and widened by £0.8 billion in 1995. In 1995, the trade deficit on goods was £1.5 billion less than it was in 1992. Underpinning this improvement between 1992 and 1995, the volume of exported goods has increased by 24 per cent. while the volume of imported goods was increased by 15 per cent.