British Telecommunications' rating outlook is negative, according to Standard & Poor's, which has downgraded the company's credit ratings following debt-ridden BT's latest restructuring plans.

S&P downgraded BT's long-term rating to 'A' and its short-term rating to 'A2'. The agency also said that the outlook on the new ratings is negative, implying that BT could fall into the triple-B territory before its ratings rise again.