The UK’s current account deficit narrowed to GBP 22.1 billion (2.8% of GDP) in the first quarter of 2026 from an upwardly revised GBP 27.2 billion in the previous quarter, but remained slightly wider than market expectations of a GBP 21.5 billion shortfall. The primary income deficit decreased to GBP 3.9 billion, or 0.5% of GDP, from GBP 11.9 billion in the fourth quarter, as payments to foreign investors dropped by GBP 1.5 billion to GBP 111.0 billion, while receipts increased by GBP 6.5 billion to GBP 107.1 billion. In addition, the goods trade deficit fell to GBP 51.8 billion from GBP 53.0 billion in the prior quarter, whereas the services surplus declined slightly to GBP 51.8 billion from GBP 53.0 billion. Meanwhile, the secondary income deficit narrowed to GBP 3.5 billion from GBP 3.8 billion in the previous period, remaining at 0.5% of GDP.