The Financial Conduct Authority's board has warned the regulator that it must demonstrate it is "seeking to understand the concerns of staff", amid mounting confusion over reforms proposed by new boss Nikhil Rathi.

The nine-person board tasked with holding the UK's financial regulator to account has highlighted the need for "two-way" communication and engagement "to ensure the organisation is listening" to its roughly 4,000 employees as the watchdog consults on a raft of changes to pay and conditions.