Record sell-off ends FTSE's week of woe

Stock markets worldwide were gripped by fear today as London’s FTSE 100 Index endured its worst week since the Black Monday crash of 1987.

Recession panic and concerns over fragile banks sent investors stampeding for the exits as the Footsie tumbled 8.9% – surpassing even Monday’s record sell-off.

The Footsie has plummeted 21% over the week – wiping more than £250bn off the value of top-flight stocks in the process.

The index eventually finished below the 4,000 mark at 3932.1 – its lowest close for more than five years.