MAM's Callow: UK will lose AAA-rating by December

The UK will lose its AAA credit rating by December, MAM Funds' Simon Callow has said, after Fitch became the second ratings agency to place the economy on negative watch.

Fitch Ratings followed in Moody’s footsteps on Wednesday, warning it may downgrade the UK in the next few years if the government does not contain the level of public debt. Callow (pictured), running the CF Midas Balanced Growth fund alongside Mark Wright, said he doubts the ability of the coalition government to manage down the UK’s huge debt pile. “We have concerns about the outlook for sterling as we believe the UK will lose its AAA rating by December this year. Credit agencies usually give a six- to nine-month warning before making a downgrade. Growth or inflation is the only way ...