UK leads the way as S&P reaffirms AAA rating

Standard & Poor's has maintained its AAA long-term credit rating for the UK and said the outlook remains stable, while warning GDP will be lower than forecast for the next three years.

The ratings agency, which has cut credit ratings of peers including the US, said the UK's economic and fiscal flexibility had served it well, with international investors also continuing to support the economy by buying up gilts. S&P also affirmed the UK's short-term credit rating of A-1+, adding the UK's deep capital markets and wealthy and diversified economy were supportive of the AAA rating. S&P's comments came as UK chancellor George Osborne said today at the Conservative Party Conference he would "ride out the storm" engulfing markets and stick to his austerity plan, rejecting c...