Peter Levene, chairman of Lloyd’s, offered a spirited defence of financial services on Thursday night at the specialist insurer’s annual City banquet, hitting out at what he called “dangerous talk” from those who seek to limit pay and reduce the size of the sector.

“There is a very real danger that we shall end up doing irreparable damage to one of the strongest sectors of our economy,” said Lord Levene. “I am proud to be a part of the City of London. Why? Because financial services are something at which we British excel.”