British official trade deficit widens in March

Britain's trade deficit grew by more than expected in March, official data showed on Wednesday. The deficit -- the difference between goods exported and imported -- expanded to £7.7 billion (8.8 billion euros, $12.6 billion) in March, the Office for National Statistics (ONS) said in a statement. That compared with a deficit of £7.0 billion in February, which was upgreaded from the previous estimate of £6.8 billion. The March figure overshot market expectations for a smaller deficit of £7.5 billion, according to analysts polled by Dow Jones Newswires. Exports fell 0.5 percent to hit £24.9 billion in March, while imports rose 1.7 percent to £32.6 billion. "The widening in the UK trade deficit in March was all but inevitable after such a sharp narrowing in the previous two months," said Capital Economics senior UK economist Vicky Redwood. "The big picture is that the trade position is still looking a lot better than a few months ago. "The trade in goods deficit rose from £7.0 billion to £7.7 billion -- but that compares to almost £10 billion at the end of last year."