How Barclays chiefs tried but failed to keep their names quiet

Barclays’ wealth unit alleged to pursue a "revenue at all costs strategy".

It has been quite a week for the overworked press and PR teams at Barclays, and the past seven days have offered a goldmine of stories for Barclays’ watchers.

The latest comedy cuts story featuring Barclays relates to its publicity shy executives and former-execs such as former CEO Bob Diamond applying - and mercifully failing – to keep their names out of a London Inter-Bank Offer Rate (LIBOR) rate-rigging court claim.

This scandal, including claims that Barclays’ traders tried to fix LIBOR to their advantage to maximise their bonuses, is toxic for Barclays’ tarnished reputation: it has already held its hands up and coughed up a fine of £290m.

So now, thanks to Mr Justice Flaux, we know that Diamond, former chief operating officer Jerry del Missier, Mark Dearlove, head of Barclays’ money-market desk and Stephen Morse, former head of compliance, are on a list of 104 bankers who wished to be given anonymity in the first UK trial with relevance to the rigging of the benchmark interest rate.

As Mr. Justice Flaux said: “The cat is out of the bag…….it wouldn’t take a rocket scientist to work out who they are.”

Trying and failing to gain anonymity in this case merely makes Diamond look even more foolish than was previously thought possible.

This, after all, is the banker who accepted Barclays’ ridiculous decision to award him 80 per cent of his maximum possible bonus in 2011, despite Barclays missing its financial targets and witnessing a 35 per cent fall in its share price in 2011.

This week started with Barclays’ press office trying to place a positive spin on Antony Jenkins, Diamond’s successor as CEO, plans to introduce a culture of ethical behaviour. He said that bankers had pursued short-term profits at the expense of the reputation of the bank: Gosh, really?

Jenkins will say more on 12 February when he reveals a strategic plan: bank speak for how to increase profits with fewer staff.

Already, several thousand Barclays’ employees face an uncertain future as the bank has kicked off a consultation process as part of a formal review of its 23,000-strong investment banking unit.

Barclays’ watchers expect between 2,000 and 3,000 staff to be axed as part of Jenkins’ strategic plan.

The week continued with news that Andrew Tinney, formerly COO of Barclays’ wealth management unit, had left the bank following allegations that he tried to keep secret a report on the how his business unit went about its business.

The report did not make for pleasant reading; surprise, surprise, it alleged that Barclays’ wealth unit pursued a "revenue at all costs strategy" and that there was a culture of fear and intimidation.

There are at least two positives from this weeks events at Barclays.

The first is that Royal Bank of Scotland - next in the LIBOR firing line as it awaits details of the level of the fine it is to pay - is unlikely to be daft enough to seek anonymity for its executives implicated in the LIBOR scandal.

The second plus for Barclays PR team is that the week is almost over.

Photograph: Getty Images

Douglas Blakey is the editor of Retail Banker International

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Cabinet audit: what does the appointment of Andrea Leadsom as Environment Secretary mean for policy?

The political and policy-based implications of the new Secretary of State for Environment, Food and Rural Affairs.

A little over a week into Andrea Leadsom’s new role as Secretary of State for Environment, Food and Rural Affairs (Defra), and senior industry figures are already questioning her credentials. A growing list of campaigners have called for her resignation, and even the Cabinet Office implied that her department's responsibilities will be downgraded.

So far, so bad.

The appointment would appear to be something of a consolation prize, coming just days after Leadsom pulled out of the Conservative leadership race and allowed Theresa May to enter No 10 unopposed.

Yet while Leadsom may have been able to twist the truth on her CV in the City, no amount of tampering will improve the agriculture-related side to her record: one barely exists. In fact, recent statements made on the subject have only added to her reputation for vacuous opinion: “It would make so much more sense if those with the big fields do the sheep, and those with the hill farms do the butterflies,” she told an audience assembled for a referendum debate. No matter the livelihoods of thousands of the UK’s hilltop sheep farmers, then? No need for butterflies outside of national parks?

Normally such a lack of experience is unsurprising. The department has gained a reputation as something of a ministerial backwater; a useful place to send problematic colleagues for some sobering time-out.

But these are not normal times.

As Brexit negotiations unfold, Defra will be central to establishing new, domestic policies for UK food and farming; sectors worth around £108bn to the economy and responsible for employing one in eight of the population.

In this context, Leadsom’s appointment seems, at best, a misguided attempt to make the architects of Brexit either live up to their promises or be seen to fail in the attempt.

At worst, May might actually think she is a good fit for the job. Leadsom’s one, water-tight credential – her commitment to opposing restraints on industry – certainly has its upsides for a Prime Minister in need of an alternative to the EU’s Common Agricultural Policy (CAP); a policy responsible for around 40 per cent the entire EU budget.

Why not leave such a daunting task in the hands of someone with an instinct for “abolishing” subsidies  thus freeing up money to spend elsewhere?

As with most things to do with the EU, CAP has some major cons and some equally compelling pros. Take the fact that 80 per cent of CAP aid is paid out to the richest 25 per cent of farmers (most of whom are either landed gentry or vast, industrialised, mega-farmers). But then offset this against the provision of vital lifelines for some of the UK’s most conscientious, local and insecure of food producers.

The NFU told the New Statesman that there are many issues in need of urgent attention; from an improved Basic Payment Scheme, to guarantees for agri-environment funding, and a commitment to the 25-year TB eradication strategy. But that they also hope, above all, “that Mrs Leadsom will champion British food and farming. Our industry has a great story to tell”.

The construction of a new domestic agricultural policy is a once-in-a-generation opportunity for Britain to truly decide where its priorities for food and environment lie, as well as to which kind of farmers (as well as which countries) it wants to delegate their delivery.

In the context of so much uncertainty and such great opportunity, Leadsom has a tough job ahead of her. And no amount of “speaking as a mother” will change that.

India Bourke is the New Statesman's editorial assistant.