Why has the UK been stripped of its AAA rating? Moody's said the main reason was the evidence that Britain's economic growth would remain sluggish for a few years. The slower-than-expected recovery has made it hard for George Osborne to meet his own deficit reduction targets. A debilitating debt pile meant the UK was less able to deal with potential economic or financial shocks. On a more positive note, the agency said a combination of political will and underlying economic strengths would, in time, allow the government to reduce the debt burden. Why has the downgrade happened now? The timing was a surprise: most ... (full story)