Earlier this year, two credit agencies downgraded the UK economy credit rating, but new research out of Cardiff Business School suggests the downgrade should have occurred much earlier.
Researchers employed a model-based measure for credit ratings, and the analysis found the UK should have been downgraded in September 2007 when Northern Rock bank required an emergency loan from the Bank of England.
The model also found that between the end of 2010 to 2012, the UK credit rating crept back up towards triple A. This study coincides with the European Commission urging investors to assess their own credit ratings rather than relying on credit agencies.
Read more at Cardiff University