Economy will take two years to recover-F&C's Scott

With reports of an economic slowdown and rising inflation limiting options for further rates cuts, Scott has said it could take up to two years for the UK economy to really recover. “Usually recessions last around 18 months and we haven’t entered into recessionary territory yet,” he says. Equity markets will suffer severely as a result of rising inflation and a slowing economy, he argues. “The rally in equities that followed the rescue of Bear Stearns is typical of a bear market. "People saw the bailout of the US bank as a turning point in the credit crisis and markets went up around ...