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EconomyPublished: 25 September 2026 at 04:43

UK food and drink trade deficit hits largest level since 2000

Britain's food and drink trade deficit has grown past £21bn, the widest gap in more than 25 years, as exports fall and imports climb. Industry leaders are urging the government to protect domestic food production for the sake of national security.

Foto: The Guardian World

The UK's food and drink trade deficit has widened to more than £21bn, the largest gap since 2000, according to analysis from the Food & Drink Federation (FDF). Industry figures say the shift reflects a combination of Brexit-related trade friction, disruption from conflict in the Middle East, and new US tariffs.

Export volumes fell 11.7% in the first half of 2026 to 4bn kg, only marginally above the lows seen during the Covid pandemic and the 2001 foot-and-mouth outbreak. Exports to the EU dropped 0.9% in value amid ongoing post-Brexit costs and complexity, while exports beyond the EU fell even further, down 6.9% in value. Sales to the UAE dropped by almost a quarter due to disruption tied to the US-Israel war on Iran, and a new 10% US import tariff cut cross-Atlantic sales by 16.5%.

Meanwhile imports reached 19.1bn kg in the first half of the year, the second-highest level on record. Imports from outside the EU have risen more than a fifth since 2023 as trade restrictions eased, with Australia now sending 25% more in value terms, including meat, oils, vegetables and whisky. The suspension of tariffs on manufactured goods such as chocolate and biscuits, part of a cost-of-living relief package introduced by the former chancellor, also boosted import volumes, alongside a modest recovery in EU deliveries to the UK.

Tom Bradshaw, president of the National Farmers' Union of England and Wales, said the figures should serve as a wake-up call, warning that Britain cannot take its food production capacity for granted amid growing geopolitical uncertainty. He called for a long-term plan recognising food security as national security, citing rising costs, regulation and extreme weather as mounting pressures on farmers.

FDF chief executive Karen Betts said the growing deficit raises stark questions about food security in a world affected by conflict and climate change, adding that removing tariffs on imports such as biscuits from China makes it harder for UK-made products to compete on price.

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