percy filth Posted October 12, 2011 Share Posted October 12, 2011 Really? As I remember it Darling's proposed slower deficit reduction plan was endorsed by ratings agencies. http://www.guardian.co.uk/business/2010/may/11/uk-credit-rating-downgrade-threat-lib-lab-deal Or not as the case may be. Link to comment Share on other sites More sharing options...
I1L2T3 Posted October 12, 2011 Share Posted October 12, 2011 Or not as the case may be. The view of city analysts at BNP Paribas. They've never been wrong have they? Link to comment Share on other sites More sharing options...
WeX Posted October 12, 2011 Share Posted October 12, 2011 The view of city analysts at BNP Paribas. They've never been wrong have they? more qualified then you it would seem. Link to comment Share on other sites More sharing options...
WeX Posted October 12, 2011 Share Posted October 12, 2011 Awwww he's only a beginner, just humour him. Yep Darling was, well more of a puppet for Bullion Brown. The puppet of a muppet Link to comment Share on other sites More sharing options...
percy filth Posted October 12, 2011 Share Posted October 12, 2011 The view of city analysts at BNP Paribas. They've never been wrong have they? As you are obviously incapable of absorbing the truth I'd better give you another example. http://www.telegraph.co.uk/finance/economics/6953619/UK-more-at-risk-than-ever-of-losing-AAA-rating-top-investor-Neil-Woodford-warns.html 8 Jan 2010 UK more at risk than ever of losing AAA rating, top investor Neil Woodford warns A nightmare week for Gordon Brown ended last night with a new blow, as one of the City’s leading fund managers warned the prospect of Britain losing its top tier credit rating is “more likely now than it has ever been”. Neil Woodford, head of investment at Invesco Perpetual said that there was a “high probability” of Britain losing its AAA credit rating, something which has never happened since a rating was first put on UK debt more than three decades ago. The downgrade would be likely to send the pound plunging, and could send Britain towards a debt spiral, as the Treasury is forced to pay greater interest rates on its debt, which in turn pushes the deficit still higher. Pimco's decision to sell UK gilts this year will be seen as a financial vote of no-confidence in the Government's handling of the economy. In a call with analysts from around the City, Mr Woodford compared Britain today with the mid-1970s, when it was bailed out by the International Monetary Fund, but pointed out that “the rating agencies did not really exist at that time.” “I would argue that there is a high probability... a decent chance that we will be downgraded, and it is a near certainty if we do not, in the wake of the next election, properly deal with the deficit. There are some major challenges here. If we do not take the medicine, there will inevitably be a downgrade. If we do, we have a chance of escaping a downgrade.” The comments come only days after PIMCO, the world’s biggest bond house, declared that it is selling some of its cache of UK government debt, otherwise known as gilts, and judged that there is a 80pc chance that Britain has its top-notch rating downgraded. Standard & Poors, and the other major credit ratings agencies, have warned that unless the next Government adopts more ambitious plans to cut the deficit, it will remove Britain’s AAA status. However, in the pre-Budget report last month, Alistair Darling unveiled plans that were slightly less ambitious than those in the Budget. Mr Woodford said: “I do not believe we have the ingredients for a sustainable economic recovery. The bank-crisis resolution period is likely to be very long and drawn-out.” Link to comment Share on other sites More sharing options...
percy filth Posted October 12, 2011 Share Posted October 12, 2011 And another just to help those with their heads buried even deeper in the sand. http://www.independent.co.uk/news/business/news/britain-could-lose-cherished-aaa-credit-within-12-months-1933967.html Britain 'could lose cherished AAA credit within 12 months' Investment chief at Pimco warns of disaster facing UK's public finances and banking By Sean O'Grady, Economics Editor Friday, 2 April 2010 One of the world's most powerful investment houses has given notice that Britain's cherished AAA credit rating could be lost within a year, with disastrous consequences for the public finances and the stability of the financial system. Scott Mather, the head of global portfolio management at the world's largest bond investor Pacific Investment Management Co (Pimco), also said the eurozone's potential joint bailout of Greece with the International Monetary Fund would be ineffective. On Monday, there was a marked sell-off of Greek government debt and an auction of bonds on Tuesday went badly. The spread between the yield on Greek bonds and German Bunds soared again to 340 basis points. Pimco has previously said that Greece's "initial conditions and demographics are abominable". Pimco is reducing the weight of UK, US and European sovereign debt in its portfolios. "Miracles are needed in the next six months in order to keep economic growth in the developed world," Mr Mather said. Pimco stated last month that it was keeping its negative outlook on British gilts because of fears of inflation and a further deprecation of sterling. Mr Mather's intervention is the latest in a series of blows to hopes that Britain will be able to retain its AAA rating. A fortnight ago, the ratings agency Fitch said it was "uncomfortable with the fiscal adjustment path set out by UK authorities" and called for a "more credible and stronger fiscal consolidation plans during 2010". Moody's, meanwhile, said Britain had moved "substantially" closer to losing its AAA status. Most dramatically, Bill Gross, the co-founder and co-chief investment officer of Pimco, said in January that "gilts are resting on a bed of nitroglycerine". This week, he heaped further pressure on the gilts market and sterling. Spreads on UK 10-year gilts have crept up to 14 basis points above those of Spain, one of the so-called Piigs – the eurozone's most indebted economies, comprising Portugal, Italy, Ireland, Greece and Spain, which have threatened the future of the single currency itself. With the end of the Bank of England's programme of quantitative easing – a £200bn injection of money into the economy through a programme of gilt purchases – a major underpinning has been removed. Link to comment Share on other sites More sharing options...
Big time Posted October 12, 2011 Share Posted October 12, 2011 Labour are not patriotic, they dont have a vision for the country, more a vision for the world. Labour want this country to have a crap credit rating and be skint; countries that are on their knees and have no confidence in themselves eventually have no option but to blend into to one another and be come one - "united we stand, divided we fall" and all that. Labour's mismanagement of the economy was deliberate, it was part of the master plan. Link to comment Share on other sites More sharing options...
I1L2T3 Posted October 12, 2011 Share Posted October 12, 2011 re: credit ratings. We still see articles now saying that our AAA rating is under threat. Just google it. The funny thing is the person posting the links probably saw all those and decided to ignore. I'd certainly never deny those warnings were not happening pre-2010. Link to comment Share on other sites More sharing options...
Keith Rich Posted October 12, 2011 Share Posted October 12, 2011 When the ConDems took power 18 months ago economic growth was 0.6% as the UK pulled out of what now is now realised was as a deeper recession than was previously thought. The ConDems will soon be claiming it wasn't their fault, it was the Eurozone crisis, however ONS stats suggest that economic growth from April to June had already slipped to .1% BEFORE the Eurozone crisis: From todays Guardian: The UK economy barely grew in the second quarter as consumers cut spending, compounding more downbeat news from the eurozone and fuelling fears that Britain could soon slip back into recession. Official data also showed the 2008-2009 recession was deeper than orginally thought. Revising previous numbers, the Office for National Statistics halved its GDP estimate for April to June this year to just 0.1%, suggesting the economy had already ground to a halt BEFORE the European debt crisis escalated in the summer. http://www.guardian.co.uk/business/2011/oct/05/economic-growth-revised-down-recession-fears And lets not forget unemployment. http://www.bbc.co.uk/news/business-15271800 Fine job Dave congratulations Link to comment Share on other sites More sharing options...
Big time Posted October 12, 2011 Share Posted October 12, 2011 And lets not forget unemployment. http://www.bbc.co.uk/news/business-15271800 Fine job Dave congratulations Cammers is cutting out the fat from the state sector, streamlining it if you will. These people are now free'd up to do the forthcoming proper jobs. Link to comment Share on other sites More sharing options...
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