Barclays lines up Sir Michael Rake to 'heal reputation'

 

Barclays is lining up inside candidate Sir Michael Rake for the job of repairing the scandal-hit bank's reputation, reports said today.

It is understood Barclays is poised to approach regulators for clearance to appoint Sir Michael as replacement for outgoing chairman Marcus Agius, who offered his resignation in the wake of the Libor fixing scandal.

Sir Michael, who was promoted from senior independent director to deputy chairman amid the rate-rigging furore, is believed to be sounding out Barclays investors about becoming chairman.

He is already said to have told shareholders he is ready to step down from the boards of airline easyJet and BT to secure the chairmanship.

Speculation is also mounting over who will replace former Barclays chief executive Bob Diamond after his resignation last week.

Front-runners are said to include former JP Morgan co-chief executive Bill Winters, who was a member of the Independent Commission on Banking that drew up plans to reform the UK banking sector.

Mr Agius has agreed to remain with the bank until Mr Diamond's successor is found.

But Barclays is thought to be hoping for a quick change of chairman to restore confidence after receiving a mauling since news broke of the bank's £290 million settlement with US and UK regulators as part of a global investigation into Libor fixing.

It would also give the bank breathing space to search for Mr Diamond's replacement.

Headhunters Spencer Stuart are understood to be working with the bank to conduct the search for a new chief executive.

Another leading external contender is thought to be Richard Meddings, finance director of emerging market focused bank Standard Chartered.

Mr Meddings reportedly advised the Labour Government on the bank bailouts at the height of the financial crisis.

Bookmaker Paddy Power said it had suspended bets on the next chief executive after a sudden flood of money on Barclays' joint head of corporate and investment banking Rich Ricci.

An outsider until today, Paddy Power said his odds were slashed to 1/4.

Mr Agius was the first executive to quit when the scandal emerged earlier this month, but his resignation was not enough to prevent Mr Diamond from being forced out.

In an appearance in front of MPs earlier this week, Mr Agius revealed that Bank of England boss Sir Mervyn King told him Mr Diamond no longer had the support of his regulators before he quit.

Barclays non-executive director Sir John Sunderland is leading the search for a replacement to Mr Agius, while Sir Michael has been tasked with carrying out a "root and branch" review of the bank's business practices following the rate-rigging scandal.

Sir Michael was appointed to the Barclays board in January 2008.

City expert David Buik from BGC Partners said Sir Michael was a "highly respected member of the financial and business community".

He added: "His credentials are impeccable, though I do wonder whether politicians and the public would prefer a new broom."

Barclays declined to comment on its boardroom succession plans.

PA

Suggested Topics
Start your day with The Independent, sign up for daily news emails
PROMOTED VIDEO
Life and Style
Suited and booted in the Lanvin show at the Paris menswear collections
fashionParis Fashion Week
News
i100
Arts and Entertainment
Kara Tointon and Jeremy Piven star in Mr Selfridge
tvActress Kara Tointon on what to expect from Series 3
Voices
Winston Churchill, then prime minister, outside No 10 in June 1943
voicesA C Benson called him 'a horrid little fellow', George Orwell would have shot him, but what a giant he seems now, says DJ Taylor
News
i100
News
An asteroid is set to pass so close to Earth it will be visible with binoculars
news
News
ebooks
ebooksA year of political gossip, levity and intrigue from the sharpest pen in Westminster
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Recruitment Genius: Tax Assistant

Negotiable: Recruitment Genius: A Tax Assistant is required to join a leading ...

Recruitment Genius: Outbound Sales Executive - OTE £25,000

£16000 - £25000 per annum: Recruitment Genius: This is an exciting opportunity...

Ashdown Group: Java Developer / J2EE Developer - Watford - £45,000 - £47,000

£45000 - £47000 per annum + bonus + benefits: Ashdown Group: Java Developer / ...

Ashdown Group: Marketing Product Manager - (Financial Services) - SW London

£35000 - £38000 per annum + Benefits: Ashdown Group: Marketing Manager - Marke...

Day In a Page

Syria crisis: Celebrities call on David Cameron to take more refugees as one young mother tells of torture by Assad regime

Celebrities call on David Cameron to take more Syrian refugees

One young mother tells of torture by Assad regime
The enemy within: People who hear voices in their heads are being encouraged to talk back – with promising results

The enemy within

People who hear voices in their heads are being encouraged to talk back
'In Auschwitz you got used to anything'

'In Auschwitz you got used to anything'

Survivors of the Nazi concentration camp remember its horror, 70 years on
Autumn/winter menswear 2015: The uniforms that make up modern life come to the fore

Autumn/winter menswear 2015

The uniforms that make up modern life come to the fore
'I'm gay, and plan to fight military homophobia'

'I'm gay, and plan to fight military homophobia'

Army general planning to come out
Iraq invasion 2003: The bloody warnings six wise men gave to Tony Blair as he prepared to launch poorly planned campaign

What the six wise men told Tony Blair

Months before the invasion of Iraq in 2003, experts sought to warn the PM about his plans. Here, four of them recall that day
25 years of The Independent on Sunday: The stories, the writers and the changes over the last quarter of a century

25 years of The Independent on Sunday

The stories, the writers and the changes over the last quarter of a century
Homeless Veterans appeal: 'Really caring is a dangerous emotion in this kind of work'

Homeless Veterans appeal

As head of The Soldiers' Charity, Martin Rutledge has to temper compassion with realism. He tells Chris Green how his Army career prepared him
Wu-Tang Clan and The Sexual Objects offer fans a chance to own the only copies of their latest albums

Smash hit go under the hammer

It's nice to pick up a new record once in a while, but the purchasers of two latest releases can go a step further - by buying the only copy
Geeks who rocked the world: Documentary looks back at origins of the computer-games industry

The geeks who rocked the world

A new documentary looks back at origins of the computer-games industry
Belle & Sebastian interview: Stuart Murdoch reveals how the band is taking a new direction

Belle & Sebastian is taking a new direction

Twenty years ago, Belle & Sebastian was a fey indie band from Glasgow. It still is – except today, as prime mover Stuart Murdoch admits, it has a global cult following, from Hollywood to South Korea
America: Land of the free, home of the political dynasty

America: Land of the free, home of the political dynasty

These days in the US things are pretty much stuck where they are, both in politics and society at large, says Rupert Cornwell
A graphic history of US civil rights – in comic book form

A graphic history of US civil rights – in comic book form

A veteran of the Fifties campaigns is inspiring a new generation of activists
Winston Churchill: the enigma of a British hero

Winston Churchill: the enigma of a British hero

A C Benson called him 'a horrid little fellow', George Orwell would have shot him, but what a giant he seems now, says DJ Taylor
Growing mussels: Precious freshwater shellfish are thriving in a unique green project

Growing mussels

Precious freshwater shellfish are thriving in a unique green project