Fitch is latest to downgrade UK rating on Brexit worries

Predicts 'abrupt slowdown'

Fitch has joined its fellow ratings agency S&P in downgrading the UK's rating following last week's Brexit vote.

Fitch downgraded both the UK's long-term foreign and local currency issuer default ratings and the issue ratings on the UK's senior unsecured foreign and local currency bonds from AA+ to AA. The ratings agency said the UK's vote to leave the European Union will induce an "abrupt slowdown" in short-term GDP growth as businesses defer investment and consider changes to the UK's legal and regulatory environment. As a result, it has also revised down its forecast for real GDP growth for 2016 from 1.9% to 1.6%, and from 2% to 0.9% in 2017. Despite the downgrades,sterling and UK stocks c...