New boss at Barclays pledges to change its culture

Internal appointment says the bank must correct some 'serious mistakes'

The new chief executive of Barclays has pledged that he will change the culture which has seen the bank embroiled in a series of interest rate-fixing and mis-selling scandals.

Antony Jenkins, previously head of retail and business banking at the bank, said his first task was to "stabilise the organisation".

He replaces Bob Diamond, the highly paid investment banker, who resigned as chief executive over the Libor-rigging scandal in July.

"It is clear that we have made serious mistakes," Mr Jenkins said. "We need to change our culture, which means setting out the values you expect from people and deal with those who don't follow them. I believe that is perfectly feasible."

He also admitted that he is likely to scrap Mr Diamond's ambitious target of getting Barclays to produce a 13 per cent return on equity. He said: "We need to put a lot more structure and credibility around the return on equity. It is not so much having a fixed target but ensuring that our return is higher than our cost of equity."

Mr Jenkins, 51, will be paid a basic salary of £1.1m but that could go up to as much as £8.6m with annual bonus, long-term share incentives and pension payments. That is still half the £17m collected by Mr Diamond.

Unlike his two predecessors, Mr Diamond and John Varley, Mr Jenkins has kept a low public profile. Insiders say he is a serious and dedicated banker. He was by far the strongest internal candidate at Barclays, where the board felt it was almost impossible to appoint anyone from its own investment bank. He became the front-runner last week after Bill Winters, former JPMorgan banker, dropped out of the selection process.

Mr Jenkins said: "We have made serious mistakes in recent years and clearly failed to keep pace with our stakeholders' expectations. We have an obligation to all of those stakeholders – customers, clients, shareholders, colleagues and broader society and a unique opportunity to restore Barclays' reputation by making it the 'go-to' bank in all of our chosen markets."

Mr Jenkins joined Barclays as graduate trainee, starting in its South Kensington branch in 1983. He spent six years with Citigroup before returning to head Barclaycard in 2006. He became chief executive of retail and business banking in 2009. Although he is untainted by the Libor scandal, he was in charge of the retail division for much of the period it mis-sold PPI, which has cost Barclays £1.3bn.

Sir David Walker, Barclays chairman-elect, said: "The field of short-listed candidates that I met was very strong, and it was clear that Antony was the outstanding choice. His track record, familiarity with the group and vision for the future are all highly compelling."

Conrad Hills, director of financial services at the headhunter Norman Broadbent, said: "I applaud Barclays' decision. It's great to have somebody who customers can trust at the head of one of the UK's leading banks. "Barclays shares fell 2.85p to 183.5p, more on worries over the SFO inquiry than the new boss.

Keith Bowman, at Hargreaves Lansdown, said: "The bank's fight to restore its reputation continues. The chairman-elect has clearly given his stamp of approval."

Suggested Topics
Sport
Alexis Sanchez has completed a £35m move to Arsenal, the club have confirmed
sportGunners complete £35m signing of Barcelona forward
Voices
Poor teachers should be fearful of not getting pay rises or losing their job if they fail to perform, Steve Fairclough, headteacher of Abbotsholme School, suggested
voicesChris Sloggett explains why it has become an impossible career path
Sport
world cup 2014
Sport
Ray Whelan was arrested earlier this week
PROMOTED VIDEO
Arts and Entertainment
In a minor key: Keira Knightley in the lightweight 'Begin Again'
film
Arts and Entertainment
Celebrated children’s author Allan Ahlberg, best known for Each Peach Pear Plum
books
News
peopleIndian actress known as the 'Grand Old Lady of Bollywood' was 102
News
Wayne’s estate faces a claim for alleged copyright breaches
newsJohn Wayne's heirs duke it out with university over use of the late film star's nickname
Life and Style
It beggars belief: the homeless and hungry are weary, tortured, ghosts of people – with bodies contorted by imperceptible pain
lifeRough sleepers exist in every city. Hear the stories of those whose luck has run out
News
Mick Jagger performing at Glastonbury
people
Life and Style
fashionJ Crew introduces triple zero size to meet the Asia market demand
News
ebookA unique anthology of reporting and analysis of a crucial period of history
Sport
Santi Cazorla, Mikel Arteta and Mathieu Flamini of Arsenal launch the new Puma Arsenal kits at the Puma Store on Carnaby Street
sportMassive deal worth £150m over the next five years
Arts and Entertainment
Welsh opera singer Katherine Jenkins
musicHolyrood MPs 'staggered' at lack of Scottish artists performing
Life and Style
beautyBelgian fan lands L'Oreal campaign after being spotted at World Cup
Arts and Entertainment
Currently there is nothing to prevent all-male or all-female couples from competing against mixed sex partners at any of the country’s ballroom dancing events
Potential ban on same-sex partners in ballroom dancing competitions amounts to 'illegal discrimination'
News
business
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

Business Analyst Consultant (Financial Services)

£60000 - £75000 per annum: Harrington Starr: Business Analyst Consultant (Fina...

Systems Administrator - Linux / Unix / Windows / TCP/IP / SAN

£60000 per annum: Harrington Starr: A leading provider in investment managemen...

AVS, JVS Openlink Endur Developer

£600 - £700 per day: Harrington Starr: AVS, JVS Openlink Endur Developer JVS, ...

Technical Support Analyst (C++, Windows, Linux, Perl, Graduate)

£30000 per annum: Harrington Starr: A global leader in trading platforms and e...

Day In a Page

A History of the First World War in 100 Moments: Peace without magnanimity - the summit in a railway siding that ended the fighting

A History of the First World War in 100 Moments

Peace without magnanimity - the summit in a railway siding that ended the fighting
Scottish independence: How the Commonwealth Games could swing the vote

Scottish independence: How the Commonwealth Games could swing the vote

In the final part of our series, Chris Green arrives in Glasgow - a host city struggling to keep the politics out of its celebration of sport
Out in the cold: A writer spends a night on the streets and hears the stories of the homeless

A writer spends a night on the streets

Rough sleepers - the homeless, the destitute and the drunk - exist in every city. Will Nicoll meets those whose luck has run out
Striking new stations, high-speed links and (whisper it) better services - the UK's railways are entering a new golden age

UK's railways are entering a new golden age

New stations are opening across the country and our railways appear to be entering an era not seen in Britain since the early 1950s
Conchita Wurst becomes a 'bride' on the Paris catwalk - and proves there is life after Eurovision

Conchita becomes a 'bride' on Paris catwalk

Alexander Fury salutes the Eurovision Song Contest winner's latest triumph
Pétanque World Championship in Marseilles hit by

Pétanque 'world cup' hit by death threats

This year's most acrimonious sporting event took place in France, not Brazil. How did pétanque get so passionate?
Whelks are healthy, versatile and sustainable - so why did we stop eating them in the UK?

Why did we stop eating whelks?

Whelks were the Victorian equivalent of the donor kebab and our stocks are abundant. So why do we now export them all to the Far East?
10 best women's sunglasses

In the shade: 10 best women's sunglasses

From luxury bespoke eyewear to fun festival sunnies, we round up the shades to be seen in this summer
Germany vs Argentina World Cup 2014: Lionel Messi? Javier Mascherano is key for Argentina...

World Cup final: Messi? Mascherano is key for Argentina...

No 10 is always centre of attention but Barça team-mate is just as crucial to finalists’ hopes
Siobhan-Marie O’Connor: Swimmer knows she needs Glasgow joy on road to Rio

Siobhan-Marie O’Connor: Swimmer needs Glasgow joy on road to Rio

18-year-old says this month’s Commonwealth Games are a key staging post in her career before time slips away
The true Gaza back-story that the Israelis aren’t telling this week

The true Gaza back-story that the Israelis aren’t telling this week

A future Palestine state will have no borders and be an enclave within Israel, surrounded on all sides by Israeli-held territory, says Robert Fisk
A History of the First World War in 100 Moments: The German people demand an end to the fighting

A History of the First World War in 100 Moments

The German people demand an end to the fighting
New play by Oscar Wilde's grandson reveals what the Irish wit said at his trials

New play reveals what Oscar Wilde said at trials

For a century, what Wilde actually said at his trials was a mystery. But the recent discovery of shorthand notes changed that. Now his grandson Merlin Holland has turned them into a play
Can scientists save the world's sea life from

Can scientists save our sea life?

By the end of the century, the only living things left in our oceans could be plankton and jellyfish. Alex Renton meets the scientists who are trying to turn the tide
Richard III, Trafalgar Studios, review: Martin Freeman gives highly intelligent performance

Richard III review

Martin Freeman’s psychotic monarch is big on mockery but wanting in malice