Diamond departure welcomed by politicians

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Diamond departure welcomed by politicians

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Politicians have been united in their positive response to Bob Diamond’s resignation as Chief Executive of Barclays Bank.

The 60-year-old quit on Tuesday morning despite mounting a robust defence of his position on Monday.

British Finance Minister, George Osborne welcomed the news which came after Barclays was engulfed in the interbank rate-rigging scandal.

“We need our banks focused on lending to the economy, not on the scandals of the past. And I hope this can be the first step towards a new culture of responsibility in British banking,” he said.

Banks will now be the subject of a parliamentary inquiry. The leader of the opposition, Ed Miliband believes the government should go further than that. “We need a full, judge-led independent inquiry to get to the bottom of those practices and to make recommendations for change in the future. And I have to say to David Cameron if he doesn’t order that judge-led inquiry, I think he will be failing to understand the gravity and scale of this crisis,” he said.

The government said such an inquiry would take too long if laws were to be changed. New rules could prevent such huge bonuses being paid to executives like Bob Diamond whose salary with share options and bonuses is believed to have topped the 21 million euro mark while his personal wealth is estimated at 125 million euros.

Barclays Chief Operating Officer Jerry del Missier has also resigned, the third top executive in two days to do so.