The prospect of Britain leaving the European Union is a bigger threat to the UK economy than uncertainty over the General Election, according to the respected agency
The prospect of Britain leaving the European Union is a bigger threat to the UK economy than uncertainty over the General Election, according to credit ratings agency Moody’s.
In a blow to Conservative plans for an in-our EU referendum in 2017, the independent credit ratings agency warned that while a period of uncertainty resulting from a hung parliament was unlikely to effect Britain’s credit rating, exit from the European Union could damage Britain’s credit profile and force Moody’s to re-analyse the UK’s growth prospects.
“As the EU accounts for around 50 per cent of the UK’s goods and 36 per cent of its services exports, a withdrawal from the EU could have negative implications for trade and investment, both ahead of the event and following it,” the agency said.
“While it remains unclear whether this would indeed lead to an exit, if the likelihood of the UK leaving the EU were to increase, Moody’s would analyze the impact on the UK’s growth prospects,” it added.
The comments come on the back of a warning earlier this week by former Labour prime minister Tony Blair that David Cameron’s proposed 2017 EU referendum was a “concession to UKIP” that risked leaving “a pall of unpredictability hanging over the British economy”.
James Bloodworth is the editor of Left Foot Forward. Follow him on Twitter
To reach hundreds of thousands of new readers and to make the biggest impact we can in the next general election, we need to grow our donor base substantially.
That's why in 2024, we are seeking to generate 150 additional regular donors to support Left Foot Forward's work.
We still need another 124 people to donate to hit the target. You can help. Donate today.
18 Responses to “Moody’s: Tory EU exit bigger risk to credit rating than election uncertainty”
Jim Bennett
Blair was one of history’s biggest c#$ts however he wasn’t a dictator. He was elected three times to govern.
Chris Kitcher
Twat
Chris Kitcher
Just goes to show how our democracy is so wrong.
Leon Wolfeson
And? You’re a Little Englander, so what does a third thing which you’re not…
Guest
Keep whining about democracy.
And people do have a chance to vote, it’s called a general election. Keep fighting Thatcher and Atlee, who both condemned referendums.
It’s only non-citizens like you who don’t get a vote.