- 4 updates
The Government said a top credit rating agency's latest forecast on the UK economy showed the Coalition was on the right track with plans to cut the deficit.
Standard & Poor's said Britain's cherished AAA long-term credit rating will stay for now, but warned there was a chance of a downgrade.
The Treasury said:
The Standard and Poor's credit rating agency today confirmed the UK's AAA rating but warned that the outlook remained negative.
It means all three major agencies have now painted a bleak picture of Britain's economic outlook.
- The Moody's rating agency downgraded the UK to Aa1 in February - the first time Britain had lost its AAA rating since 1978.
- In March, the Fitch agency put the UK economy on negative watch, the first step to a credit rating downgrade.
- S&P has now reportedly affirmed the UK's AAA status, but with the caveat that there is "at least a one-in-three chance" it could be downgraded.
The Standard & Poor's credit rating agency said Britain remained at risk of losing its AAA rating, in a statement reported by the International Business Times.
"The outlook remains negative, reflecting our view of at least a one-in-three chance that we could lower the ratings if the UK's economic and fiscal performances were to weaken beyond our current expectations," S&P reportedly said.
The Standard & Poor's credit rating agency has renewed the UK's AAA rating, according to the Wall Street Journal's DJ FX Trader service: