The FTSE 100 Index fell 117.9 points, or 2.1%, to 5533.9 amid worries that a raft of Spanish regions were poised to ask for government bailout funds, increasing the likelihood that the country itself will turn to the EU for help.
The fall wiped nearly £30 billion from the value of London's leading shares index, with all 100 companies losing value and banks falling up to 4%.
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The Newcastle-based bakers made £1m a week in coffee sales in the period leading up to Christmas.
The Lib Dems have called on the UK to follow suit of countries like Portugal in treating drugs as a health rather than a criminal problem.
Soloman Bygraves followed 93-year-old Stanley Evans into his block of flats and pushed him over as he lunged for his wallet.