'Worst financial crisis in human history': Bank boss's warning as pound suffers biggest fall for 37 years

Bank of England deputy governor Charlie Bean warned that the pain is just beginning, calling the situation the 'largest financial crisis of its kind in human history'.

On the 79th anniversary of the Great Crash of 1929:

• Britain's economic output slid 0.5 per cent - more than twice the decline expected by the City;

• Markets tumbled around the world, with leading UK shares losing almost £50billion;

• Sterling had its worst-ever week against the dollar since 1971 and hit a record low against the euro;

• The oil cartel Opec cut production, a move likely to increase petrol prices up to 5p a litre;

• Experts warned that hedge funds are facing disaster, with billions likely to be wiped off savings and pension funds;

• Hundreds of jobs were axed in the insurance, cosmetics, haulage and textile industries.

The plunge was prompted by the worst set of UK growth figures for 18 years, recording the first time that the economy has officially contracted since 1992.

The Office for National Statistics reported UK output dropping 0.5 per cent between July and September.

Another fall in the final three months of the year would propel Britain into the first official recession since the days of John Major.

Tory leader David Cameron declared: 'This is the day the recession became real. More