UK to take longer to win back triple-A rating if Scotland votes yes says Fitch

 
Guy Bentley
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Rating agency Fitch have said if Scotland votes yes to independence the rest of the UK will take longer to regain its triple-A credit rating, which was lost in April 2013.

Fitch said its ratings response following a "yes" vote would depend on the terms of agreement between an independent Scotland and the UK.

The UK government's decision that should Scotland secede it would honour its issued stock of debt, would lead to an increase in gross public debt of 9.5 per cent of GDP. Independence is also likely to harm the UK's balance of payments and external balance sheet.

Fitch reiterated their position that the UK needs a lower gross debt ratio that is steadily declining before they will consider upgrading the UK to triple-A status. A goal that would be severely impacted by Scottish independence.

However, Fitch are expecting a "no" vote based on current polls.