Why is the pound falling and what are the implications for Britain?

Sterling down to seven-year low against dollar, while ratings agency warns UK credit score at risk if public votes to leave EU in June

The pound has slumped to a seven-year low against the dollar after David Cameron fired the starting gun on a four-month battle to determine the UK's future in Europe. Ratings agency Moody's has also warned that Britain's strong credit score would be at risk if the public vote to leave the EU.

On financial markets, investors are gearing up for choppy trading between now and the 23 June vote. So why is sterling under pressure? What does it mean for you? And why do we care about the UK's credit rating?

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