Fitch Ratings cuts UK's credit outlook to negative on fiscal risk

The UK’s credit outlook was lowered to negative from stable by Fitch Ratings, which cited risk the government’s new growth plan could increase the nation’s fiscal deficit. 

Fitch affirmed the UK’s rating at AA-, the fourth highest level, according to a Wednesday statement. The Bank of England’s outlook was also lowered to negative from stable by Fitch due to its link with the sovereign.

“The large fiscal stimulus, announced without compensatory measures or an independent evaluation of the macroeconomic and public finances’ impact, and the inconsistency between fiscal and monetary policy stance given strong inflationary pressures, have in Fitch’s view,