It is not a good time to be a mergers and acquisitions banker as they contend with eurozone volatility, reduced corporate confidence and depressed levels of activity. With the collapse of the BAE Systems-EADS tie-up this week, they now face another loss of mega-fees.

The two defence firms confirmed on Wednesday they were terminating talks over the proposed merger following weeks of speculation and tense negotiations with government stakeholders over the terms of a deal.