{"id":91991,"date":"2016-06-27T08:45:32","date_gmt":"2016-06-27T12:45:32","guid":{"rendered":"http:\/\/countingpips.com\/?p=91991"},"modified":"2016-06-27T08:45:32","modified_gmt":"2016-06-27T12:45:32","slug":"uk-credit-rating-faces-downgrade-following-vote-to-leave-eu","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2016\/06\/uk-credit-rating-faces-downgrade-following-vote-to-leave-eu\/","title":{"rendered":"UK credit rating faces downgrade following vote to leave EU"},"content":{"rendered":"
June 27, 2016<\/div>
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Article by ForexTime<\/a><\/p>\n

Following the result of the referendum last Thursday in which the majority of Britons voted to leave the EU, Moody\u2019s has downgraded Britain\u2019s creditworthiness, questioning the country\u2019s reputation of high-quality economic policy-making. The UK is expected to face an increase in uncertainty and a decrease in spending and investment as it negotiates its exit.<\/p>\n

In line with warnings from Britain\u2019s ministry of finance and central bank about the economic blow the country would face should Brexit prevail, the pound dropped to its lowest against the dollar last Friday, following the referendum results. The Prime Minister\u2019s resignation, however, did not appear to add volatility to markets.<\/p>\n

Expectations of downgrades to the UK\u2019s credit outlook were similarly supported by Moody\u2019s rival credit rating agency, Standard & Poor\u2019s, in addition to Fitch Ratings.<\/p>\n

Certain sectors are especially expected to suffer due to decreased spending, namely public services. Nevertheless, Moody\u2019s claims that the negative economic growth foreseen for the near future will be outweighed by the savings from no longer being obliged to contribute to the EU budget.<\/p>\n

There still remains uncertainty about what precisely the trade agreement between a newly-independent UK and the EU will entail. In the meantime, economic stagnation is not entirely unlikely despite Brexit supporters\u2019 confidence of superior trade deals and immigration controls.<\/p>

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\"Forex-Time-Logo\"Article by ForexTime<\/a><\/span><\/strong><\/p>\n

ForexTime Ltd (FXTM)<\/strong> is an award winning international online forex broker regulated by CySEC 185\/12 www.forextime.com<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Article by ForexTime Following the result of the referendum last Thursday in which the majority of Britons voted to leave the EU, Moody\u2019s has downgraded Britain\u2019s creditworthiness, questioning the country\u2019s reputation of high-quality economic policy-making. The UK is expected to face an increase in uncertainty and a decrease in spending and investment as it negotiates […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-91991","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/91991","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=91991"}],"version-history":[{"count":2,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/91991\/revisions"}],"predecessor-version":[{"id":92016,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/91991\/revisions\/92016"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=91991"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=91991"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=91991"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}