UK credit rating hinges on Pre-Budget Report - papers

Alistair Darling's pre-Budget report today is apparently the only thing that can prevent Britain from losing her historic and cherished AAA credit rating.

Moody's, the leading ratings agency, dropped this bombshell yesterday as the Chancellor prepared to deliver his statement to Parliament, according to The Independent. Mr Darling's team has already made clear that there will be no early move to tighten fiscal policy beyond that already pencilled in at the last Budget, potentially putting the UK on the road to a debt downgrade that would have devastating consequences for sterling, investor confidence and interest rates. A "gilts strike" could follow. Renewed concerns about the Royal Bank of Scotland and weak manufacturing figures added ...