LONDON: Moody's said on Monday that a softening of Britain's push to cut its budget deficit announced last week did not fundamentally change its view of the UK's creditworthiness.
"We had expected the government to loosen fiscal policy compared to earlier plans because spending pressures have been building and Brexit-related uncertainty is affecting economic growth," the ratings agency said in a report.
"Our expectation of weakening fiscal and economic strength were key drivers of our one-notch downgrade of the UK's rating in September."
Moody's said in September that its one-notch downgrade of Britain's credit rating to Aa2 was due to a slowing of the government's plans to bring down its heavy debt load and the impact of Brexit on the economy.
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