June 18 (Reuters) – Rating agency Fitch on Friday raised Britain’s outlook from “stable” to “negative,” saying macroeconomic, labor market and fiscal results since the start of 2021 showed that the economy was more resilient to the impact of the pandemic shock.
“The roll-out of the UK coronavirus vaccination program has been rapid … which could mitigate the impact of cases of infection on healthcare capacity and support economic resilience to the ongoing developments of the pandemic,” said Fitch.
Last year, the economy shrank 9.8%, its biggest drop in over 300 years and the biggest drop in output of any major advanced economy.
But as the lockdown eased, the economic recovery accelerated in April, with the fastest monthly growth since July, leaving a record production 27.6% higher than a year earlier, when the virus was rampant. Read more
The agency confirmed its sovereign credit rating at ‘AA-‘.
Report by Mehr Bedi in Bangalore; Editing by Arun Koyyur
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