FSA deputy chairman Crosby quits

Former HBOS chief executive James Crosby dramatically resigned as deputy chairman of the British Financial Services Authority (FSA) today.

The shock move follows claims that he sacked a former head of risk management at the bank after he warned over the rapid growth of the business.

Crosby said he was confident there was “no substance” in the allegations, but felt the “right course of action” was to resign from the FSA board.