Fitch raises UK outlook on economic resilience to pandemic shock

People visit the stables market, amid the coronavirus disease (COVID-19) outbreak, in Camden, London, Britain on September 19, 2020. Reuters/Henry Nichols

June 18 (Reuters) – Rating agency Fitch on Friday downgraded Britain’s outlook from ‘negative’ to ‘stable’, saying macroeconomic, labor market and fiscal results since the start of 2021 showed the economy has recovered from the pandemic. was more resilient to the impact of shock.

Fitch said, “The roll-out of the UK’s coronavirus vaccination program has been rapid … which can reduce the impact of infection cases on health care capacity and support economic resilience to ongoing growth in the pandemic.” is.”

Last year, the economy shrank 9.8%, its sharpest decline in more than 300 years and the largest drop in output of any major advanced economy.

But as lockdowns were eased, the economic recovery picked up pace in April, with the sharpest monthly growth since July, with output up 27.6% from a year ago, when the virus was rife. read more

The agency has reaffirmed its sovereign credit rating at ‘AA-‘.

Reporting by Meher Bedi in Bengaluru; Editing by Arun Koyur

Our Standards: Thomson Reuters Trust Principles.

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