Tag Archives: credit agencies

UK loses its triple-A rating – George should’ve listened to Danny

The BBC reports tonight’s predictable news:

UK’s AAA credit rating cut to Aa1 by Moody’s
The UK has had its AAA credit rating cut by Moody’s, based on its expectation that growth will “remain sluggish over the next few years”. The ratings agency became the first to lower the UK from its highest rating, to Aa1. … The UK’s net sovereign debt was the equivalent of 68% of the country’s annual economic output, or GDP, at the end of last year. All three major credit agencies last year put the UK on “negative outlook”, meaning they could downgrade its rating if

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Danny Alexander: UK’s triple-A credit rating “not be-all and end-all”

Lib Dem chief secretary to the treasury Danny Alexander has signalled an interesting shift in the government’s economic approach, downplaying the significance to the economy of the UK’s continuing triple-A credit rating. Here’s what he told the BBC (courtesy of PoliticsHome):

“The credit rating is not the be-all and end-all. What matters is have we got the right policy mix for the country to get people back into work, to support economic growth, to deal with the huge problems in our public finances and the credit agencies reflect on those things and the ratings they give are a reflection of

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LibLink … Chris Huhne: These mystery men can break governments

Lib Dem shadow home secretary Chris Huhne has an article in today’s Times noting that how much it costs the Treasury to borrow money depends on three ratings agencies … and asks the crucial question: are they fit to wield this power?

Chris’s credential for writing an article outside his brief? Well, he founded the sovereign group at Fitch Ratings, and was group managing director. Here’s an excerpt:

Last week Moody’s — one of the big three international ratings agencies — warned that the UK’s top bond rating would be under threat if Britain failed to sort out its public finances

Posted in LibLink | Also tagged , and | 4 Comments
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Recent Comments

  • User AvatarAmalric 28th Nov - 9:00pm
    @ Richard Dean I didn’t make any calculations. However you have made an assumption that I didn’t make. You have assumed that none of jobs...
  • User AvatarHywel 28th Nov - 7:55pm
    Two things - in traditional internet style I'm commenting having not read this report! (but will :-) 1) "A right populist party rises if the...
  • User AvatarRichard Dean 28th Nov - 7:54pm
    What's this talk of prisoners? Are LibDems looking for excuses to give up before the game even starts, again?
  • User AvatarDavid Evans 28th Nov - 7:53pm
    Thanks Helen, I was reading your post as we salvaged some shred of credibility from May's election results themselves, rather than the work doen by...
  • User AvatarMr Wallace 28th Nov - 7:53pm
    Won't happen. It's like this. Once you fall below a certain social/economic status no mainstream political party could give a hoot about you. If you...
  • User AvatarHywel 28th Nov - 7:49pm
    Stephen - an important point you've not mentioned which I'd not appreciated before is that Lord Ashcroft has selected a number of constituencies that would...