Germany was preparing for increased market volatility if Britain voted to leave the European Union next week, a top official with the German Finance Ministry said yesterday.

Jens Spahn, parliamentary state secretary in the ministry, told German broadcaster ARD that finance and equities markets were already anxious about the possibility that Britain could exit the bloc, but the reaction to a ‘leave’ vote could trigger far greater volatility.

“It will be important to demonstrate stability,” Spahn said.

He said a British exit from the EU would be a huge loss, but it would be critical for Germany and the rest of the EU to demonstrate unity and a determination to continue as a bloc.

Sign up to our free newsletters

Get the best updates straight to your inbox:
Please select at least one mailing list.

You can unsubscribe at any time by clicking the link in the footer of our emails. We use Mailchimp as our marketing platform. By subscribing, you acknowledge that your information will be transferred to Mailchimp for processing.