LONDON, England - March 5, 2011 - Mervyn King, the Governor of the Bank of England, has come under fire from leading economists after warning that Britain risks suffering another financial crisis without reform of the country’s banks.

In an interview with The Daily Telegraph, Mervyn King said that imbalances in the banking system remain and are “beginning to grow again”.

But leading economists, including a former Tory advisor and the chief executive of the British Bankers' Association, have criticized his comments.

Tim Congdon, who served on the Treasury Panel of Independent Forecasters (the so-called "wise men") under the last Conservative government, called the remarks "unjustified".

He said, "The truth is the financial sector is very important to the British economy. He's been at the Bank of England for twenty years. I find it incredible that he's now attacking the structure of the industry. If you criticize the banks you reduce their credibility and then people worry about them. The important thing for the Governor of the Bank of England is to help them."