A former City executive has been banned for life from any senior role in the financial services industry, after being exposed as one of the UK’s biggest train fare dodgers.

Jonathan Paul Burrows, a former managing director at Blackrock Asset Management, has been barred by the Financial Conduct Authority from taking any responsible role in the financial services industry.

Announcing the ban, the FCA’s director of enforcement and financial crime, Tracey McDermott, said: “Burrows held a senior position within the financial services industry. His conduct fell short of the standards we expect. Approved persons must act with honesty and integrity at all times and, where they do not, we will take action.”

His dishonest behaviour came to the attention of the City watchdog after it came to light that he had saved himself almost £43,000 over several years by exploiting a loophole at the ticket barriers.

The East Sussex commuter boarded the London-bound train at Stonegate, a rural station with no ticket barriers. When he arrived at Cannon Street station in London, he tapped in using an Oyster card, paying a £7.20 fare, rather than the £21.50 cost of his journey.

Burrows avoided prosecution after making an out-of-court-settlement with Southeastern railways, but had to resign from his high-flying job at Blackrock after a public outcry.

He told the FCA he knew he was breaking the law and had not disclosed his behaviour to his employer. The FCA said they had taken these facts into account when deciding what action to take.

Today’s ruling ends Burrows’s lucrative City career. At Blackrock he had reportedly earned £1m a year. He will never again be allowed into a position of authority, although, in theory, he could take junior back-office jobs.

In a statement after the FCA ruling, Burrows said: “I have always recognised that what I did was foolish. I have apologised to all concerned and reiterate that apology publicly today.”

“While I respect the FCA’s decision today, I also regret it, coming as it did after a 20-year career in the City that was without blemish. I recognise that the FCA has on its plate more profound wrongdoing than mine in the financial services sector, and I am sorry that my case has taken up its time at this critical juncture for the future of the City and its reputation.”

Last year the FCA banned 43 people from working in senior financial services jobs for failing the “fit and proper” test, but few attracted as much attention as Burrows. The fund manager initially managed to keep his identity secret through an out-of-court settlement that roused the anger of unions. At the time, Manuel Cortes, the leader of the TSSA transport union, said the anonymous agreement showed there was one law for the rich and one for the poor. Burrows’s identity was first revealed by the Daily Mail, who contrasted his “two huge, mortgage-free mansions in the East Sussex countryside” with the £4,500 cost of the season ticket.

The majority of people subject to an FCA ban have committed offences at work and Burrows is only the second person to be banned by for wrongdoing unrelated to his job. His case follows senior money-market manager Anthony Verrier, who earlier this year accepted an FCA ban , after being censured by a high court judge for dishonesty.

Many commuters voiced anger that Burrows avoided prosecution, but others expressed a sneaking admiration that he managed to get away with it for so long.

The £43,000 that Burrows repaid to Southeastern trains was calculated on the basis of single fares. This meant the settlement cost him £20,000 more than if he had bought season tickets.

• 30 November 2015. To clarify: the sum of £43,000 which was paid to settle this matter out of court does not reflect the value of the unpaid fares alone, which were substantially less.