New Barclays chairman plans review
Aug 13 2012
Barclays' new chairman Sir David Walker plans to undertake a root and branch review of the way the bank operates, it has been reported.
Sir David told The Sunday Telegraph he agrees "in principle" with customers paying to use current accounts and the end of the free banking model. The City grandee, who was appointed on Thursday and will take up the role on November 1, has set a 24-month deadline by which time he hopes the bank will be on firmer footing.
Sir David will replace Marcus Agius, who 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.
The 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 told the Sunday newspaper that his highest priorities were appointing a new chief executive, reforming compensation and bringing about a changed culture. He said he would like to speed up the process of "ring-fencing" so that the bank is functionally separated before the 2019 deadline set by the Government.
And he admitted that in principle he favours charging for bank accounts and services, and branded recent mis-selling episodes, such as interest rate swaps to small companies and payment protection insurance, as "the consequence of not charging for bank accounts".
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