Trade Figures: 10% Export Slump Masked By Narrowing Deficit

12.59.53pm UTC (GMT +0000) Tue 9th Sep 2003

Matthew Taylor MP, Liberal Democrat Shadow Chancellor of the Exchequer

Commenting on this morning's trade figures, showing falling exports, and ahead of Gordon Brown's speech to the TUC, Matthew Taylor MP, Liberal Democrat Shadow Chancellor, said:

"Today's trade figures are not as rosy as they first seem. The deficit may have narrowed but overall exports have slumped 10% since last year, with exports to other EU countries slumping by an astonishing 16%."

"The Euro effect is really kicking in. British investment is falling faster than the rest, and trade figures are touching record lows. British jobs, growth and stability are under threat."

"Saying No to the Euro is not the easy political option that the Chancellor seems to believe. Saying No to the Euro requires a 'Plan B' from the Chancellor to stem the loss of investment and deal with record trade deficits."

ENDS

Notes to editors

1. This morning's trade figures show export volumes falling 10.3% on the same period last year when oil and other erratic factors (such as precious stones) are excluded (if they are not the fall is 9.6%). Exports fell to both EU and non-EU countries.