Bob Diamond to become Barclays CEO

In a recent announcement issued by the banking group, Barclays chief executive John Varley will be stepping down in order to make way for Bob Diamond to take his place.

Widely regarded as one of the most shrewd and success-driven banking executives in the global financial markets, Mr Diamond will be relinquishing his current roles as as chief executive for Barclays Wealth Management and Corporate and Investment Banking divisions in addition to the presidency of Barclays PLC in order to fulfill his new role as group CEO.

The recent decision by one of the UK’s best business bank account providers is a reflection of how Barclays has triumphed despite the global economic downturn; in particular its investment banking division has been especially successful, reporting first half profits before tax for 2010 of approximately¬†¬£3.9 billion, which is an increase of 44 per cent over the same period in 2009.

There have been rumours lying thick on the ground that Barclays may shutter any retail banking operations it currently has, especially after reports that earnings for the group were dominated by its Barclays Capital division to the tune of 80 per cent of total profits.

The banking giant declared recently that it will be increasing its capabilities in its wealth management and investment banking operations by creating approximately 600 new positions to be filled in Glasgow, where it will be establishing a new office hub, much to the relief of the Scottish city.

There are predictions that the appointment of Mr Diamond to Barclays CEO will not be without its detractors, however, as many politicians hold a decidedly dim view of the businessman; Lord Mandelson commented this past April, while he was still serving as Business Secretary, that Mr Diamond was unacceptable as a representative of teh banking industry, citing his £63 million annual salary.

In related news, chairman of HSBC Stephen Green has announced his resignation in order to take a post with the Coalition Government as a trade minister.

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