The UK Treasury says S&P could revise back its negative outlook for Britain’s sovereign debt rating given the uncertainty in the econmic outlook. Cable on steadier footing in wake of comments, presently back around 1.5600.
Treasury spokesman has said “There are significant uncertainties in the global economy at the present time and S&P point out that the outlook could be revised back to stable ‘if fiscal outturns are more benign than (they) currently anticipate’.”
The spokesman adds “The Budget set out a clear plan to halve the deficit in five years. That judgement was based on a deliberately cautious view of the public finances.”
