You are here: Home - Investing -

Osborne attacks ‘systematic greed’ of Barclays traders

0
Written by:
29/06/2012
Chancellor George Osborne has called the manipulation of LIBOR rates by Barclays traders “a shocking indictment” of the greed of the financial sector. The bank was fined a total of £290m yesterday, including a record £59.5m from the FSA.

Speaking in the House of Commons, Osborne said the manipulation highlighted “systematic greed at the expense of financial stability – and the Government at the time were clueless about what was going on.”

There were three questioned still to be answered, the Chancellor said: how were such failures allowed to continue unchecked; what changes are needed in the regulatory system in the future; and what further sanctions are needed at Barclays specifically.

The Financial Services Bill will create “a far tougher regulatory system”, with the Financial Conduct Authority in particular focussing “razor-like” on market abuse.

But Osborne said it was worrying the FSA had no criminal powers. On Bob Diamond, who was forced to forfeit his bonus after the fine, Osborne said the Barclays CEO “has some very serious questions to answer, what did he know and when did he know it, who else knew and who should pay the price.We all want to hear his answers.”

Shares in the bank fell 16% as of 1pm, with other banks also suffering the possibility of further investigation. The Royal Bank of Scotland was down nearly 13%, with HSBC falling 4%.

Tagged:

Tag Box

Debt

Pension

Spending

Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

The essential Your Money guide to the April 2018 tax changes

As we head into the 2018/19 tax year, a number of key changes take place to existing policies while some new i...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

YourMoney.com Awards 2018

Now in their 21st year, our awards recognise the companies offering the best products and services to consumers

Money Tips of the Week

Read previous post:
2188282-1011-iceberg
Barclays record fine is just tip of the iceberg

Barclays record FSA penalty for LIBOR manipulation will be superceded by other banks' fines as the investigation deepens, according to...

Close