Moody's downgrading the UK's AAA rating is the news the Chancellor didn't want to hear.
The credit rating agency cites continuing weakness in the economy, with the squeeze predicted to go past 2016, but it says the outlook is stable.
This is a big blow for the Government so close to the Budget, although it is not unexpected.
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?