The FTSE 100 closed down 3.83 per cent or 292.66 points to 7,344.45 this afternoon, while the FTSE 250 finished down 2.63 per cent or 503.81 points to 18,625.85.
Shares in banking giants including Barclays, HSBC and Lloyds Banking Group have fallen sharply.
Credit Suisse shares have sunk a hefty 27 per cent, while nervousness remains about the continued fallout from the collapse of Silicon Valley Bank in the US.
In his Spring Budget, Chancellor Jeremy Hunt said the UK economy is expected to shrink this year, but narrowly avoid an official recession in a better-than-expected performance for the country.
Among the companies with reports and trading updates today are Ferrexpo, Bloomsbury, Burberry, IG Group, Trainline, Keywords and Hyve Group. Read the Wednesday 15 March Business Live blog below.
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