The UK's trade deficit in goods and services was broadly unchanged in July at £3.8 billion, official figures have shown.

The Office for National Statistics (ONS) reported a sharp fall in both exports and imports but said the figures were distorted by VAT fraud.

Analysts said the data was therefore unreliable.

The UK's deficit on trade in goods for July was £6.3bn - largely unchanged from June's figure.

Total exports of goods fell 13% to £19.7bn, while imports dropped 10% to £26bn.

The decline in exports and imports was partly due to revised estimates of the impact of fraud, the ONS said.

For the three months to July, the goods and services deficit fell to £12.8bn from £13.5bn in the previous quarter.

The UK's surplus on trade in services was £2.6bn in July, compared to £2.5bn in June.