Main menu For students For teachers Explore our subjects Student events & courses

Teaching Economics

Teaching activity

In the News Teaching Activity – What has been happening to the UK’s food & drink trade deficit? (Oct 2026)

Elizabeth Veal

5th October 2026

Share this content:

UK food deficit hits £21bn as imports rise, exports fall

Britain’s food and drink trade deficit has reached more than £21bn, its highest level since 2000. Food and drink export volumes fell 11.7% in the first half of 2026 to 4bn kg, while imports reached 19.1bn kg. Imports from outside the EU have risen by more than a fifth since 2023, helped by new trade deals and lower tariffs. The government’s suspension of tariffs on manufactured foods such as chocolate and biscuits has also increased imports, as part of measures designed to ease the cost of living.

UK food and drink trade deficit largest since 2000 at £21bn | Food & drink industry | The Guardian

1. Explain what is meant by a trade deficit in food and drink.

2. Using a tariff diagram, discuss how the suspension of tariffs on a range of manufactured foods could help to ease the cost of living.

3. Discuss whether the UK government should increase protection for the domestic food and drink industry.

Download our suggested answers for this resource here

Share this content:

Elizabeth Veal

Liz has taught Economics for over 25 years, including several years as Head of Economics at leading schools.