Finance has important benefits to society that should not be forgotten in the rush to tighten rules on banks, but regulators should not return to the "benign neglect" philosophy of the pre-financial crisis years, according to Ignacio Visco, governor of the Bank of Italy.

In a speech at Imperial College London, Visco cautioned that "the negative perception of banking and finance should not lead to a blind backlash". He said, however, that the laissez-faire approach to regulation before the