In a letter sent by FSA chairman Adair Turner to Barclays chairman Marcus Agius on April 10th 2012, the FSA accused the bank of being too 'aggressive'.
"The purpose of my meeting with you was therefore not to focus on any one specific issue which requires remedial action. Rather I wished to bring to your attention our concerns about the cumulative impression created by a pattern of behaviour over the last few years.
"In which Barclays often seems to be seeking to gain advantage through the use of complex structures, or through arguing for regulatory approaches which are at the aggressive end of interpretation of the relevant rules and regulations."
Business Secretary Vince Cable has said former Barclays chief executive Bob Diamond's £1.5m to £2m pay-off is a "vast sum of money".
Business Secretary Vince Cable has said former Barclays boss Bob Diamond's £1.5m to £2m pay-off is a "vast sum of money."
He said: "A vast sum of money by most peoples standards given he's already taken a lot of money out of the company."
The Shadow Business Secretary Chuka Umunna has told ITV News that the Chancellor George Osborne made a "series on unsubstantiated allegations" against Ed Balls and others.
A number of Labour politicians have said that Mr Osborne should apologise following comments he made about Ed Balls' involvement in the Libor rate-rigging scandal.
Paul Tucker remains the odd-on favourite to succeed Mervyn King as governor of the Bank of England. But following his appearance before the Treasury Select Committee yesterday, the odds lengthened at William Hill:
- Paul Tucker - 6/4
- Gus O’Donnell - 5/2
- Adair Turner - 3/1
- Stephen Green - 9/2
- John Varley - 8/1
- Mark Carney - 10/1
- Peter Sands - 12/1
Marcus Agius has admitted to Teresa Pearce MP that Bob Diamond will walk away with a full year's salary, even though his contract only entitles him to six months' pay.
Responding to Mr Diamond's pay-off settlement, Prime Minister David Cameron's official spokesman has said:
This is a decision for Bob Diamond and for the board of Barclays. I think the decision to forgo the bonus is a sign that they understand public concerns and that they understand that there is a need for a change in the culture of banks.
Marcus Agius was pressed about when he first realised that there may be an issue with the bank's Libor submissions. He said he was not aware until the FSA investigation started in 2010.
Asked how the rigging of such an important rate was not known to him, he has repeatedly blamed the "extraordinary circumstances" of the time when the financial crisis was in full swing:
Marcus Agius has described the course of events leading up to Bob Diamond's resignation, including the Bank of England's governor telling him that Mr Diamond had lost his support and Mr Diamond's reaction.
Marcus Agius has told MPs that the day before Bob Diamond's resignation he was summoned to the Bank of England to meet the governor Mervyn King. He said he was informed that Mr Diamond "no longer enjoyed the support of his regulators".
Mr Agius said the news came as a "shock" because the issue of Mr Diamond's position had not been mentioned earlier. He held a meeting by telephone with the Barclays board and he said the members of the board which "concluded that we had no choice but to call for his resignation".
He said he then broke the news to Mr Diamond, finishing the conversation "confident that if he hadn't already made the decision [to resign] that he would make the right decision".