We use cookies to provide you with a better experience. If you continue to use this site, we'll assume you're happy with this. Alternatively, click here to find out how to manage these cookies

hide cookie message
RSS FeedRisk

AAA rating not "be-all and end-all" says Treasury secretary


Danny Alexander told BBC Radio the UK's triple A rating was not critical despite Osborne's insistence it is

Article comments

Treasury secretary Danny Alexander said on Monday that the UK’s triple A credit rating was not the “be-all and end-all”, despite chancellor George Osborne’s perceived determination to retain the coveted rating.

The chief secretary to the Treasury talked down the importance of the top credit rating on Monday when he told BBC Radio it wasn’t the ultimate goal in the government’s aim to reduce the budget deficit.

Osborne wants to erase huge budget deficit within five years.

Last week the chancellor said the coalition, in which the Lib Dems are the junior partner, would not ease back on getting to grips with the public debt, after rating agency Standard & Poor's affirmed the country's top-notch AAA debt rating.

But Osborne's deputy Alexander told BBC radio on Monday: "The credit rating is not the be-all and end-all."

Osborne has resisted strong pressure to ease his tough deficit-reduction programme as the economy has sunk deeper into its second recession in four years.

Alexander advocated "the right policy mix for the country to get people back into work, to support economic growth to deal with the huge problems in our public finances."

The credit agencies' ratings reflected "the credibility of that mix," he said.

The other main rating agencies, Moody's Investors Service and Fitch Ratings, also have Britain at AAA but with a negative outlook, warning that the country could be downgraded in the next couple of years if the government relaxes its fiscal stance.

Share:

Comments

AAA rating not
Risk

Hidden risks in the supply chain

Hidden risks in the supply chain

An unforeseen disaster can halt production and lead to share price falls and reputational damagemore ..


Taylor Wimpey CFO warns against UK withdrawal of EU

The group FD said "barriers would go up" and that would have an impact on Taylor Wimpeymore ..

RBS fined for IT failures after £25m trading losses

Hong Kong regulator fines bank £450,000more ..

Bank of England plans new round of cyber tests for banks

The Bank is to focus on individual banks’ security systemsmore ..

Energy risk: How data is eating up all the energy

Any failure in energy supplies to data servers can result in severe consequencesmore ..

Why BYOD needs to be on every CFO’s agenda

The Software Alliance explains why BYOD can be a legal nightmare for businessesmore ..

Send to a friend

Email this article to a friend or colleague:


PLEASE NOTE: Your name is used only to let the recipient know who sent the story, and in case of transmission error. Both your name and the recipient's name and address will not be used for any other purpose.



In Depth
Do you have what it takes to become a non-executive?

Do you have what it takes to become a non-executive?

The benefits of board service for CFOs more ..

In Depth
How M&A teams can create value by challenging the CEO

How M&A teams can create value by challenging the CEO

A typical “hold” period of nine to 18 months can generate increased sale value more ..

Advertisement

* *