Barclays bank unveils new chairman
Filed under: News
Sir David, a former deputy governor of the Bank of England, will join as non-executive director from September 1 before succeeding Marcus Agius as chairman from November 1, Barclays said. Mr Agius announced his intention to resign in the wake of the Libor-rigging scandal that left Barclays' reputation in tatters and sent shockwaves through the entire industry.
Sir David, a former chairman of Morgan Stanley International, will be tasked with steering the bank through the most turbulent period in its history, including appointing a new chief executive after the rate-fixing affair claimed the scalp of Bob Diamond.
Sir David said: "The UK needs a strong financial services sector and Barclays has a crucial role to play in ensuring that this country has a successful, well-governed banking industry."
Barclays was plunged into chaos when it was fined £290 million by UK and US regulators for manipulating Libor, the interbank lending rate that affects mortgages and loans. As well as triggering the departure of Mr Agius, Mr Diamond and chief operating office Jerry del Missier, the affair set off a fierce debate in Westminster over banking ethics and a criminal investigation was launched by the Serious Fraud Office.
At least 15 other institutions, including Royal Bank of Scotland, are being investigated for Libor manipulation and face hefty fines and legal costs if misconduct is found. Sir David will join the bank as it fights to restore its reputation - it recently launched its own internal review into the culture at Barclays in light of the disclosures surrounding Libor.
Mr Agius, who took on the temporary role of executive chairman after Mr Diamond's immediate exit, said: "(Sir David) will be taking over at a time when Barclays' universal banking model is delivering a strong performance in difficult markets. I wish him every success as he leads Barclays at this important time."
In the Walker Review, published in November 2009, Sir David called for banks and other financial institutions to publish the number of staff paid more than £1 million. He called on lenders to disclose details on the total pay - including salary, pension and both received and deferred bonuses - of employees outside the boardroom for the first time.
The report was commissioned by the then chancellor Alistair Darling amid concerns that unrestrained and short-term pay awards were directly linked to the excessive risk-taking at banks in the lead up to the financial crisis.
© 2012 Press Association