The head of the UK's markets watchdog has questioned claims that a post-Brexit trade agreement for financial services is not possible, contradicting comments made by senior EU politicians.

In a speech at tonight's Future of the City Dinner, Andrew Bailey, the chief executive of the Financial Conduct Authority, said if the EU wanted to change the status quo in financial markets after the UK's exit, it would mean closing market access, which would be to the detriment of the remaining member states.