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Large parts of the City and Canary Wharf were plunged into chaos today as severe weather conditions led to several feet of flooding, and key power and transport links were knocked out.
At least that was the scenario in the latest exercise set up by the Financial Services Authority, Treasury and Bank of England to test how well the financial system can cope with an Act of God rather than a man-made banking crisis.
Ironically, while it was bright sunshine across the City most of today, Sunday's Lord Mayor's show was badly hit by the weather. About 80 firms regulated by the FSA, and hundreds of members of staff, took part in today's exercise which will continue on Friday.
Firms were given secret instructions, telling how many of their staff had been unable to get to work, what communications systems had failed and the dangers to their business.
The UK Financial Sector Continuity programme carried out a similar exercise three years ago, based on a sudden flu pandemic. That ran for six weeks but simulated five months in real time.At the height of the outbreak, it was assumed six out of 10 City workers had failed to turn up.
Today's simulation had been due to take place in November 2008 but was postponed due to the real financial crisis.
