Barclays

Bank of England deputy governor Paul Tucker has denied being asked by government officials to encourage banks to lower LIBOR submissions at the height of the crisis in 2008.

The Serious Fraud Office will launch a criminal investigation into the manipulation of the benchmark lending rate.

Former chief executive Bob Diamond is facing a battle to keep his £25m payoff from Barclays after it emerged the bank's board is looking into its legal position on his entitlements.

Barclays shares are in demand, despite the fall-out from the LIBOR scandal and Bob Diamond's resignation, with investors buying five shares for every one sold.

Ratings agency Moody's has changed the outlook on Barclays' financial strength rating from stable to negative, saying the uncertainty over the bank's future direction is negative for bondholders.

The board at Barclays was told in February that the relationship between the bank's senior management and the FSA had "broken down", according to the chairman of the Treasury Select Committee.

Members of Parliament have called on Bob Diamond to give up his payout from Barclays following the LIBOR scandal that has engulfed his former bank.

Bob Diamond has told MPs he feared Barclays would be nationalised during the credit crisis because of its high borrowing rate.

David Cameron has said the LIBOR manipulation scandal is the result of "spivvy and probably illegal" activity but has declined calls for a judge-led inquiry into the affair.

This afternoon Barclays' former chief Bob Diamond faces a barrage of questions from MPs over the LIBOR scandal which has rocked the UK's banking system.