S&P Global says cutting back the capital expenditure programme, plus the amount of cash held by the States, enables Guernsey to maintain its rating.

S&P Global evaluates economies and it's given Guernsey a rating of A+ to A-1 saying its outlook is stable.

Years ago, the island enjoyed a triple A rating, the best you could get.

S&P says the fact that capital spending has been reigned in - an example being the reluctance to fully fund Education's vision - coupled with cash reserves in the region of 42% means it can continue to keep Guernsey's rating as it was for 2023.

It says the rating could go up if there were 'substantial improvements in the quality and timeliness of national income accounts data.'

But it warns that its rating could drop if spending outstrips measures to bring in more taxes or the finance industry is hit by changes to the global tax regime.

This in a year that Guernsey's anti-terrorism financing and anti-money laundering checks and balances are to be examined by Moneyval.

The new head of P&R, deputy Lyndon Trott, is upbeat:

“I am very pleased that we have been able to retain a good credit rating, signalling to the world that Guernsey is somewhere to invest and do business. S&P recognises the important steps we have taken to prevent the structural deficit from significant deterioration."

One year ago, the downgrading in Guernsey's rating was used by some pro GST deputies as a vindication of their policies ahead of the first P&R debate.