Moody's Revises UK Credit Rating Outlook

[purdy]

Point of information: the UK's credit rating has not changed at all.

 

The rating agency (just one of three such) has merely placed a 'negative watch' marker- i.e. it suspects that it might in future downgrade the UK, but it's not sure!

 

They actually said that there was a 1 in 3 chance that they might downgrade Britain in the next 18 months. That's probably why the bond market didn't alter on the news.

[spooky3]

Yep those massive debts Labour ran up are still hurting us all...

[ECCOnoob]

Today Moodys warned that Britain face a 30% chance of having its AAA credit rating downgraded. This is the first such warning to our rating since the run up to the election when plans to reduce Britain's deficit were said to be inadequate.

Could Britain lose that AAA rating and have to pay more to finance our massive debt burden?

 

Probably not considering there is still a 70% chance we will keep our AAA rating according to the same stats.

[andyofborg]

it really doesn't matter, the countries which were downgraded a few weeks ago don't seem to be having problems borrowing money and the interest rate they are paying is generally less than it was a few months ago, even the less solvent ones.

 

their may be a problem if the rating becomes some sort of fetish for the government and maintaining it replaces the more important task of shooting bankers and encoraging more productive industries (not that they are doing either to any significant degree)

[CXC3000]

It's all psychological.

[Vague_Boy]

Doesn't matter if the UK loses its AAA rating anyway because people shouldn't live beyond their means, as we are constantly told on these forums - Remember that!

Irony is really not your forte old chap.

 

As a socialist, living beyond your means is part of your ideological worldview.

 

"The problem with socialism is that eventually you run out of other people's money"

Margaret Thatcher [attributed]

 

 

Point of information: the UK's credit rating has not changed at all.

 

The rating agency (just one of three such) has merely placed a 'negative watch' marker- i.e. it suspects that it might in future downgrade the UK, but it's not sure!

Please do not confuse this thread with your true facts.

 

We don't need your kind on here.

 

 

‘AAA’—Extremely strong capacity to meet financial commitments.

We should always, always be rated AAA because we have access to a printing press.

 

As "Helicopter" Ben put it:

 

"The US government has a technology, called a printing press, that allows it to produce as many dollars as it wishes at essentially no cost."

 

Of course, borrowing money and paying it back with debased currency is a form of default in itself.

[HeadingNorth]

Of course, borrowing money and paying it back with debased currency is a form of default in itself.

 

Which, of course, is why overuse of the printing press actually causes your credit rating to sink.

[Vague_Boy]

Yep those massive debts Labour ran up are still hurting us all...

No, no, no, those debts magically appeared out of thin air in April 2010.

Billions wasted: New revelations show Balls and Brown ignored warnings that big spending spree would damage the economy

 

Gordon Brown Spending His Way out of Economic Contraction into Stagflation

 

 

Gordon Brown's debt denial 'is worse than Nazi appeasement before WW2'

 

Gordon Brown’s refusal to get to grips with Britain’s soaring debt is as bad as the failure to combat Nazi Germany before World War II, a former minister has said.

 

Labour’s Frank Field said his own government is living in ‘cloud cuckoo land’ and adding to the ‘illusion’ that all is well by printing money to buy up its own debt.

 

He warned that ‘massive’ spending cuts would be needed to bring the public finances back into balance – a course of action that has been resisted by the Prime Minister.

LINK

 

Did I ever mention that Frank Field is my favourite MP?