Speaking following ratings agency Moody's downgrading of the UK, Chancellor George Osborne said if the government were to abandon its commitment to tackle the UK's debt problem, the situation would get much worse:
The decision by the ratings agency Moody's to downgrade the UK's AAA credit rating, is unwelcome news for the Government.
Britain's loss of its triple-A credit rating is grim news for the Chancellor. But why does the marginal downgrading carry such a high price?
George Osborne had set great store by Britain's triple-A badge. But is the loss of the rating a loss of confidence in his policies?