LONDON, April 25 ― Ratings agency Standard & Poor’s left Britain’s credit rating unchanged yesterday, citing a swift response from authorities in limiting the economic impact of the coronavirus outbreak.
S&P kept the rating at “AA”, one down from a top-notch score, with a stable outlook. Britain had lost its “AAA” rating shortly after the 2016 Brexit vote.
S&P’s decision contrasted with last month’s downgrade by rival Fitch, which cited an expected surge in debt as the government ramps up spending to offset the near shutdown of the economy. “With their swift and coordinated response to limit the economic impact of Covid-19, the UK government and the (Bank of England) have demonstrated sizable fiscal and monetary flexibility,” S&P said in a statement.
While acknowledging that Britain’s fiscal deficit was likely to