A leading Conservative MP is urging Chancellor George Osborne to take action on bankers using special software to keep their communications secret.

Andrew Bridgen MP has written to Mr Osborne warning him of the dangers of Symphony interbank software.

Mr Bridgen fears the software – which allows instant messages and emails to be deleted without a trace – could help cover-up another banking crisis.

In a letter to the Chancellor, seen by the Sunday Mirror , he said: “I am writing regarding my deep concerns in respect of the relationship between several banks and hedge funds and Symphony Communications.

“A group of 14 banks and hedge funds, led by Goldman Sachs, invested $66 million into Symphony Communications.

The money was used to buy the Perzo messaging platform, an instant messaging system in the financial markets.”

Mr Bridgen then raises concerns the firm has boasted of special tools “to prevent government spying”, that there are “no backdoors” and that it has “a specific set of procedures to guarantee that data deletion is permanent”.

He added: “There is obviously an ongoing concern regarding the conduct of the banking industry following the financial crisis of 2008 and the several scandals that followed this.

“Although I believe the banking culture has changed in the UK, if employees of banks using the Symphony communication system believe they will never get caught insider trading and manipulating markets, then that culture will soon change back again.”

Mr Bridgen had previously written to the Business Secretary Sajid Javid and the Financial Conduct authority with his concerns.