UK ONS publishes current account deficit data revisions - RBS

FXStreet (Łódź) - Ross Walker, Senior UK Economist at RBS comments on the UK Office for National Statistics' revisions to the National Accounts and Balance of Payments data which are currently being published and point to considerably more substantial current account deficits in 2008 and 2009.

Key quotes

"The deterioration stems from the investment income balance, which now shows the UK’s traditional surplus being eliminated earlier, in 2008 rather than 2012."

"Whilst the largest deterioration seems likely to remain at the time of the nadir of the financial crisis, there is a clear risk that the revisions result in even larger current account deficits after 2009 (existing data show the largest deficit for a quarter of a century), inducing downside risks for sterling."

"Data for the subsequent period will be published on 30 September."