UK might struggle to make planned spending cuts: Moody’s

LONDON (Reuters) – Ratings agency Moody’s said Britain’s government might struggle to make the kind of cuts to public spending it has announced to keep on narrowing its budget deficit.

“It remains to be seen whether those cuts will be delivered, given the apparent strains on many public services after a decade of cuts and the political pressure on the government to increase funding for health care, defense and education in the next autumn budget,” Moody’s said in a statement sent to media on Friday.

Moody’s downgraded Britain’s credit rating in September to Aa2, further below its top-notch AAA rating, saying the government’s plans to bring down its heavy debt load had been knocked off course and Brexit would weigh on the economy.

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