Commercial Finance Specialists

UK commercial lending prospects could be boosted by Moody's decision to maintain the country's AAA credit rating.

Prospects for securing commercial finance in the UK have been boosted by Moody's Investors Service maintaining the country's AAA credit rating.

Plans outlined by chancellor George Osborne to cut the UK budget deficit appear to have strengthened the case for economic recovery.

The ratings agency has urged Mr Osborne to stick to his austerity measures in order to maintain the top credit score for the UK.

However, this announcement comes off the back of fresh evidence that bank lending to businesses and homeowners is weakening, which could damage property investment and commercial finance prospects across the UK.


A statement from the Treasury said: "Moody's say that their stable outlook for the UK's AAA credit rating is driven by the action to cut the deficit, and that reducing spending is more likely to bring down borrowing than relying on tax rises."

Meanwhile, earlier this week the Council of Mortgage Lenders confirmed that gross mortgage lending declined to an estimated £11.4 billion in August, down 14 per cent compared to July.

Posted by Allan Flowers.