Ulster Bank's credit rating lifted by Fitch
Ulster Bank's credit rating has been lifted by Fitch.
The bank’s long-term rating has been put up to ‘A-‘ from BBB.
That comes after Ulster Bank’s parent RBS got a similar upgrade, but RBS’s rating is one notch higher.
Fitch said that was because Ulster Bank operates in a different country to RBS, which in Fitch’s view means Ulster Bank is less likely to get support from its parent.
But it said that Ulster Bank could be put on the same rating as RBS if it becomes more integrated into the group and displays “a sustained track record of adequate profitability”.
Credit ratings are important as a high credit rating tends to make it easier and cheaper to borrow on the markets.