Three Irish banks among raft of downgrades in EU

Fitch Ratings has downgraded more than 20 European banks — including Bank of Ireland, AIB, and Ulster Bank — after concluding a review of potential state support in a crisis.

The agency said Bank of Ireland and AIB hold large stocks of impaired loans. It expects their profits to come under pressure as competition builds in the mortgage market.

The moves come after Fitch completed a global review in which it assessed the likelihood that governments would bail out banks.