Moody's eyes ratings downgrade of up to 19 UK banks

Smaller lenders, including building societies, would likely be the first to face cuts, the ratings agency, according to the BBC. The big four banks, which are seen as the most systemically important because of their size, will be assessed in H2 this year. "Systemic support" means the banks currently enjoy ratings up to five notches higher than they would otherwise. Before the crisis, the maximum such support assumed was two notches for the biggest banks, implying some could see their credit ratings cut by three notches. Any such downgrade is likely to increase a bank's cost of b...