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

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Recent Comments

  • User AvatarRichard Dean 29th Jul - 2:27am
    @T-J. There are issues, certainly, but it would be foolish to throw away opportunities that the commonwealth provides, including the 20% that jedibeeftrix mentioned. And...
  • User AvatarMark Valladares 29th Jul - 1:55am
    An interesting debate, as these types of philosophical debates often are. As someone who has been part of the LDV team in the past, then...
  • User AvatarT-J 29th Jul - 1:48am
    Credibility in human rights isn't needed for credibility in business, no. But credibility on the rule of law is. And if the law on whether...
  • User AvatarRichard Dean 29th Jul - 1:30am
    Credibility in the human rights sphere has never been a significant determinant of credibility in business and trade. But what's this about "steering"? Maybe more...
  • User AvatarT-J 29th Jul - 1:11am
    I'm not complaining. I already asked myself those questions and found the answers pointing in a different direction. Like I say, I used to be...
  • User AvatarDavid Allen 29th Jul - 12:53am
    LJP: I'm with Stephen Hesketh about status indicators. I think they would help if available for voluntary use. Someone like you could opt to leave...