UK financial credibility ‘still damaged’ despite 45p tax rate U-turn; factory downturn continues – as it happened

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UK financial credibility ‘still damaged’ despite 45p tax rate U-turn; factory downturn continues – as it happened
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Sterling has recovered its mini-budget losses, but traders and economists warn debacle has hurt UK

The decision to keep the 45p tax band for the highest earners may not protect the UK from a credit rating downgrade.says the U-turn won’t have a material impact on its latest projections for the UK economy.“We consider that the decision to reverse the tax cuts for highest earners is not going to materially affect our fiscal and economic projections for the UK that we published last Friday.”

Last Friday, S&P lowered its outlook on the UK’s AA sovereign credit rating to “negative” from “stable,” citing concerns about the country’s fiscal outlook and the ‘additional risks’ in lending to the UK.

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