Member Article

Barclays chairman resigns

The chairman of Barclays has confirmed his plans to resign, following the inter-bank lending rate fixing scandal.

Marcus Agius’s resignation came following a pledge by the bank to conduct a “root and branch review” of the issue, alongside a public report of the audit’s findings and a mandatory code of conduct for all staff.

Last week Barclays was find £290 million after it was found to have attempted to manipulate the Libor inter-bank lending rate.

Aigus admitted that the events of last week were evidence of “unacceptable standards of behaviour within the bank”, and had “dealt a devastating blow” to the banks’ reputation.

He said: “Last week’s events – evidencing as they do unacceptable standards of behaviour within the bank – have dealt a devastating blow to Barclays reputation.

“As Chairman, I am the ultimate guardian of the bank’s reputation. Accordingly, the buck stops with me and I must acknowledge responsibility by standing aside.

“I am truly sorry that our customers, clients, employees and shareholders have been let down. Barclays is full of hard working, talented individuals whose integrity is not in question.”

Following the scandal, Barclays’ board has launched an audit of business practices, which will be conducted by an independent body, reporting to the new deputy chairman Sir Michael Rake’

The bank has now pledged to establish a “zero tolerance policy” to any internal issues which could damage its reputation.

The bank’s chief executive Bob Diamond is set to appear before MPs on the Treasury Committee on Wednesday, amid calls for him to resign.

Labour Leader Ed Miliband has underlined the importance of “restoring trust” in British Banks.

He said: “I really don’t think that can be done by [Chief executive] Bob Diamond,”

He has now called for a full public enquiry into the banking industry, as well as a new professional code for bankers.

This was posted in Bdaily's Members' News section by Ruth Mitchell .