Paul Kavanagh from the investment firm Killik and co. said that new plans to cap bankers' bonuses will "create a very uncompetitive environment for many banks."
Speaking to Daybreak he added: "Not all pay is irresponsible pay."
As part of a financial reform package, ministers will consider a provisional proposal pushed last week by MEPs and backed by the European Commission.
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Ministers are reportedly 'dropping' plans to ease fire safety standards in new schools in the wake of the Grenfell Tower fire.
A 24-year-old mum has been arrested on suspicion of two counts of injury to a child after her young children were found dead in a hot car.
More than 80 people are refusing to leave their homes on the Chalcots Estate despite an evacuation of the estate's tower blocks.