Bond rates lower for hospital borrowing

Speaking at a Scrutiny hearing earlier this week, Senator Alan Maclean said that any bond taken out by the Island to fund the future hospital would still be at a better rate than the housing bond taken out in 2014, despite the recent downgrading of Jersey’s credit rating.

Global credit ratings agency Standard and Poor’s last week announced that Jersey’s credit rating had dropped from AA+, which is the highest standard, to AA.

The move means that Jersey will probably have to pay higher rates of interest to borrow money from external markets.