Jeremy Hunt’s City deregulation plans are ‘dangerous’ mistake, warns expert

Sir John Vickers, architect of post-2008 banking reforms, says plans put UK financial stability at risk

• Business live updates: Jeremy Hunt loosens City rules

The chancellor is making a great mistake and may be taking the UK down an extremely dangerous and wrong path" by repealing City regulations meant to avoid another financial crisis, a key architect of post-crash banking reforms has warned.

Sir John Vickers, a senior economist who led the independent commission reviewing the UK banking industry after the 2007-08 crisis, said key elements of a deregulation package unveiled by Jeremy Hunt on Friday could put Britain's financial stability at risk.