The UK Treasury and the Bank of England are at loggerheads over how financial services should be regulated post-Brexit, reports the FT. The City is increasingly recognising that EU Brexit negotiator Michel Barnier was serious when he warned Britain he would not listen to "pleading" from Theresa May for a special trade deal on financial services. With the hoped-for "mutual recognition proposal" apparently dead in the water, insiders have told the FT that Treasury and the BOE are at odds on how to proceed, and the mood is "poisonous". Italy's head of state has rejected the new governing coalition's choice of Finance Minister because he is a eurosceptic seen as likely to damage financial market confidence in the heavily indebted country's government bonds, which are held by banks across Europe. The Five Star-Northern League coalition collapsed and a pro-euro technocrat has been put in charge. Now politicians are demanding the head of state (who has similar powers to a Governor-General) be impeached. New elections are expected later this year, which may effectively become an referendum on whether Italy stays in the euro zone. London is rolling out contactless mPOS card readers to buskers throughout the city, following a successful trial by iZettle.