View more on these topics

Moody’s warns Britain facing fiscal crisis

Leading ratings agency Moody’s Investors Service has warned that Britain faces a “fiscal crisis” of several years unless drastic Government action is taken to repair the damage. 

The news sparked uncertainty ahead of today’s pre-Budget report about a potential downgrade to the prized national AAA credit rating. 

Yesterday’s report from Moody’s said that AAA-rated British and US economies were both classified as “resilient” with the capacity to bounce back but will struggle to find the money to reduce huge public debts. 

It said: “Public finances are deteriorating considerably and may therefore test the AAA boundaries, but which display, in our opinion, an adequate reaction capacity to rise to the challenge and rebound.”

However it added that this: “will have to be validated by actions in the not-too-distant future to continue to provide support for the rating.”


News and expert analysis straight to your inbox

Sign up


There is one comment at the moment, we would love to hear your opinion too.

  1. AAA Don’t you just love ratings agencies, did they rubber stamp all the toxic assets which got us into this mess?

Leave a comment


Why register with Money Marketing ?

Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

News & analysis delivered directly to your inbox
Register today to receive our range of news alerts including daily and weekly briefings

Money Marketing Events
Be the first to hear about our industry leading conferences, awards, roundtables and more.

Research and insight
Take part in and see the results of Money Marketing's flagship investigations into industry trends.

Have your say
Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

Register now

Having problems?

Contact us on +44 (0)20 7292 3712

Lines are open Monday to Friday 9:00am -5.00pm