Fitch: - ... weaker than expected growth and fiscal outturns in 2012 have increased pressure on the UK's "AAA" rating, which has been on Negative Outlook since March 2012. With a structural budget deficit second in size within the "AAA" category only to the US ("AAA"/Negative), and general government gross debt (GGGD) approaching 100pc of GDP in 2015-16 under Fitch's revised baseline estimates - the upper limit of the level consistent with the UK retaining its "AAA" status - the likelihood of a downgrade has therefore increased.
Fitch is clearly concerned and apparently so are the other
rating agencies. One may ask, does it really matter? The
issue of course is perception. After the US downgrade the
equity markets saw some of the worst volatility in years.