The UK’s volume of exports was 5 per cent higher in July compared to June, with imports up 2.5 per cent, according to official figures.

The UK’s volume of exports was 5 per cent higher in July compared to June, with imports up 2.5 per cent, according to official figures.

The encouraging data, which excludes oil and erratic items, comes as the National Institute for Economic and Social Research predicts that UK GDP rose by 0.2 per cent in the three months to August. If the forecast is correct this would represent the first quarterly period of growth since last year.

Iain MacDonald, head of trade product at Barclays Commercial, says, ‘Exporters are enjoying the competitive sterling rate, but from our experience are still not taking advantage of the robust GDP growth in many parts of the developing world.’

MacDonald adds that companies should focus on growing the market for British goods and services in the Far East in particular to counter ‘anaemic growth in traditional export markets’.

The UK’s deficit on trade in goods and services was £2.4 billion in July, unchanged compared with the previous month.