Fitch Ratings confirms UK ‘AAA' status

Fitch Ratings has reaffirmed the UK's AAA credit rating, saying it has "exceptional financing flexibility".

The ratings agency says this flexibility is being used to take “strong and appropriate measures to stabilize the banking sector and economy”. General government gross debt is projected to rise to 80% of GDP by the end of next year, while at the end of 2007 the level stood at just 44%. However, Fitch argues the actual debt figure will not be any higher than that experienced by other ‘AAA’ countries at the end of 2010 including France, Germany and the US. The report says: “Nonetheless Fitch warns that the UK faces one of the most serious post-crisis fiscal adjustment challenges among 'A...