Former Barclays boss Jes Staley had sex with a member of serial paedophile Jeffrey Epstein's staff, the banker told a court on the third day of his evidence as he appeals against a proposed financial services ban.

The evidence emerged in court as Jes Staley challenges the British financial regulator’s verdict that he downplayed his connection to late paedophile.

Jeffrey Epstein described the former boss of Barclays as “like family” in an email to the Duke of York, a court has heard.