By Maximilian Clarke
Standard & Poor’s (S&P) have today (Monday) confirmed that the UK’s top AAA credit rating is ‘stable’.
The coalition government’s determination to adhere to its strict deficit reduction programme was central to the New York-based credit ratings agency’s decision.
Chancellor George Osborne has repeatedly faced calls to adopt an economic Plan B, as cuts to the public sector and widespread pay-freezes continue to harm consumer confidence and further delay recovery. But S&P’s announcement today (Monday) will reassure investors, strengthening the UK’s growing reputation as a ‘safe haven’ in the worsening eurozone financial storm.
“We expect the U.K. political consensus on fiscal policy will broadly hold for the near future, and that the government will implement the measures specified in its 2010 fiscal consolidation program,” S&P said in a statement in London today (Monday), quoted by Jennifer Ryan in Bloomberg.
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