Mark Carney: Expect market and economic volatility after Brexit

Britain has been warned to expect "some market and economic volatility" in the wake of the Brexit vote.

Bank of England Governor Mark Carney said there will be a period of uncertainty and adjustment but insisted the bank was "well prepared".

After news of Brexit emerged, more than £100 billion was wiped off the FTSE 100 as the index fell more than 7%, while the pound also crashed 8% against the US dollar.

Speaking after David Cameron announced his resignation as prime minister, Mr Carney said:

  • it will take time for the UK to establish new relationships with Europe and the rest of the world

  • Britain can expect economic volatility

  • he has remained in close contact with chancellor

  • The Bank of England will not hesitate to implement necessary measures

Mr Carney - who had suggested Brexit could spark recession - was attempting to calm nerves and project stability, our deputy political editor said.