Moody's has warned that an independent Scotland would have a lower credit rating than the UK after suggering a double downgrade.
Moody’s said a vote in favour of independence Scotland would likely mean the country would be given an investment-grade A rating - below the UK's current Aa1. The ratings agency also warned that banks and insurers that have their headquarters in Scotland, such as Lloyds Banking Group, Royal Bank of Scotland and Standard Life, were likely to move out of an independent Scotland.
Moody's added that Scotland could improve its rating over time, while an independence vote could improve the credit rating for the rest of the UK.
It said: ‘While there are significant uncertainties associated with Scottish arrangements post-independence, an 'A' rating is perhaps the most likely at the outset, but with risks tilted to the downside.
‘Over time, greater clarity over (and confidence in) Scotland's institutional structure and measures to address longer-term fiscal issues could make higher rating levels attainable.’