4 July 2012 Last updated at 17:27

As it happened: MPs quiz Bob Diamond

Key Points

  • Ex-Barclays boss Bob Diamond says he only found out about interest rate rigging "this month"
  • Mr Diamond tells MPs he felt "physically ill" when he learned Barclays traders were rigging interest rates
  • Mr Diamond did not believe there was an instruction from government to lower the Libor rate
  • Bank of England deputy governor Paul Tucker has requested a hearing with the Treasury Select Committee "as soon as possible"
  • David Cameron has laid out his proposals for a joint committee to investigate banks.
  • But Labour has repeated its call for a "judge-led" inquiry into the banking scandal
  1.  
    1134:

    Hello, and welcome to our live coverage of the Barclays rate-rigging scandal. In half an hour David Cameron may be be asked about the affair in Prime Ministers Questions. Then at 1415 Mr Diamond faces MPs on the Treasury Select Committee.

     
  2.  
    Jason in London

    emails: I have worked at BarCap. Bob Diamond comes across as genuine and personable, and I felt he always had the staff's and bank's interests at heart. But there may have been a small number of traders that took advantage of the trust they were given. I'm sure the true facts will come to light soon on this.

     
  3.  
    1141:

    The prime minister has ordered a parliamentary investigation into the scandal, but Labour are continuing to press for a full public, judge-led inquiry, and Ed Miliband is expected to raise this again at PMQs.

     
  4.  
    1143:

    Why is Libor so important? Take a look here at the issues involved.

     
  5.  
    Demoralised in Kent

    emails: I used to work for Barclays. Although he [Bob Diamond] has resigned, he will get a lovely pay off - enough for him and his family for years to come. My thoughts are with the "little people" who will lose their jobs as a result and have to struggle.

     
  6.  
    1146:

    Barclays published an email on Tuesday, in which Mr Diamond detailed a phone call he had had with Bank of England deputy governor Paul Tucker in October 2008 about Libor rates. Mr Tucker mentions "senior figures within Whitehall" asking why Barclays was setting its Libor rate at the "top end". Attention has turned to the Labour government at the time.

     
  7.  
     
  8.  
    1151:

    There are a lot of technical terms being used to describe what Barclays staff did when they rigged the Libor rate. But help is at hand with this handy glossary of financial language.

     
  9.  
    1152:

    A spokesperson for former Labour minister Baroness Vadera says she had "no recollection" of speaking to Paul Tucker or anyone else at the Bank of England about the price setting of Libor.

     
  10.  
    1154:

    Labour's Ed Balls, former economic secretary to the Treasury, tells the BBC: "I had no conversation with anybody about the Libor market, and at no point while I was an adviser or a minister, at any time were concerns raised about the Libor market from the FSA, the Bank or the Treasury."

    Ed Balls
     
  11.  
    1155:

    Former City Minister Lord Myners says he also had no discussion about the Libor rate-setting process and did not speak to Mr Tucker about it. "I'm not falling into the class of people who have no recollection," he says, in what seems to be a clear reference to Shriti Vadera.

     
  12.  
    1156:

    The Commons benches are filling up nicely for prime minister's questions - which is sure to be dominated by the rate-fixing scandal and Bob Diamond's role in it

     
  13.  
    1157:

    For the next half hour we will be giving you live updates as David Cameron faces questions from Labour leader Ed Miliband and backbench MPs.

     
  14.  
    1201:

    We will also be covering all the other subjects - such as a critical report on the sale of Britain's forests - that are likely to come up, so do bear with us

     
  15.  
    1201:

    David Cameron is on his feet now. He begins with tributes to three British servicemen killed in Afghanistan.

     
  16.  
    1202:

    Labour's Fiona O'Donnell raises the issue of food prices. What is Mr Cameorn doing about food inflation?

     
  17.  
    1203:

    The PM says inflation is falling in the UK.

     
  18.  
    1205:

    Ed Miliband pays tribute to the dead servicemen.

     
  19.  
    1205:

    Tory grandee Sir Nicholas Soames gets on to the main business of the day - calling on the government to protect the City of London, to cheers of support from his Conservative colleagues. Mr Cameron agrees, but says it is important to get to the truth.

     
  20.  
    1205:

    Mr Miliband now turns to his call for a "judge-led" inquiry into the banking scandal. Mr Cameron says the agree on the substance - attacking the "spivvy" behaviour of bankers.

     
  21.  
    1206:

    But Mr Cameron says any inquiry has to be swift. Mr Miliband - attempting to strike a calm, statesmanlike tone - says he understands the need for speed but says the wider culture and practices of the City need to be investigated too.

     
  22.  
    1210:

    Mr Miliband raises Leveson - he called for an inquiry into press standards which was initially rejected by the government.

     
  23.  
    1210:

    A relatively restrained exchange so far on this highly contentions issue. Mr Cameron says Vickers and other inquiries are also underway and any judge-led inquiry might interfere with a future criminal investigation.

     
  24.  
    1211:

    What if Barclays hadn't lowered Libor submissions? Hugo Dixon at Reuters Breaking Views asks what honesty would have cost the bank.

     
  25.  
    1212:

    Noise levels rising as Ed Miliband says he doesn't think the PM "gets it" over the level of public concern. Mr Cameron says the government is already implementing the Vickers inquiry and is splitting the banks. It has also scrapped Labour's "tripartite" regualtion regime. And Bob Diamond is being grilled by the Treasury committee.

     
  26.  
    1213:

    Mr Cameron says he is not taking lectures on "getting it" from Labour on this issue and calls on Labour to abide by the outcome of a Commons vote on a judge-led inquiry, which is likely to go the government's way due to their majority.

     
  27.  
    1214:

    Speaker Bercow tells government MPs to pipe down and stop being "naughty boys" as noise levels get out of control.

     
  28.  
    1215:

    The Speaker now has to tell Labour MPs to be quiet after Ed Miliband digs out an old quote from Mr Cameron calling for lighter touch banking regulation.

     
  29.  
    Norman Smith Chief political correspondent, BBC News Channel

    tweets: Ed Miliband proposes two part inquiry. Parl inq into Libor then 12 month judge led inquiry into wider bank issues #diamond

     
  30.  
    1217:

    Mr Cameron, who always gets the final say in these exchanges, says the Higg's Boson particle may have been found, but Labour had yet to "find its sense of shame" over bank regulation.

     
  31.  
    1219:

    DUP MP Jim Shannon raises RBS banking problems in Northern Ireland. The PM says he has received assurances customers will not be left out of pocket.

     
  32.  
    1221:

    Anas Sawar, Labour MP for Glasgow Central, calls for a free vote on whether there should be a judge-led inquiry and asks if he will back criminal probes into the banking scandal.

     
  33.  
    1222:

    Mr Cameron says a banking inquiry held by MPs would be quicker.

     
  34.  
    Norman Smith Chief political correspondent, BBC News Channel

    tweets: Methinks Bank inquiry at risk of being torpedoed by v. partisan clashes over banks at PMQs

     
  35.  
    1223:

    On to other subjects now. Labour MP Ian Lucas is slapped down by the prime minister after asking if he has a policy on an EU referendum.

     
  36.  
    1223:

    Just to recap on where we are with the banking inquiry: on Thursday, MPs will vote on whether to hold a judge-led inquiry, favoured by Labour, or a parliamentary inquiry, favoured by government ministers.

     
  37.  
    1224:

    City news: Barclays share price was down 1.3p at 165.8p this morning after Oriel Securities cut its target price, saying it expects Barclays Capital to be wound down.

     
  38.  
    1225:

    Labour MP Graham Stringer calls on Mr Cameron to "stop dithering" and hold an EU referendum. Mr Cameron said he should swap sides and join the Conservative benches.

     
  39.  
    1225:

    Conservative MP David Morris raises a road safety issue in his constituency.

     
  40.  
    1227:

    Tory grandee - and father of the house - Sir Peter Tapsell calls on the PM to ensure "delinquent" bankers do not walk away with huge payouts. Mr Cameron says he very much hopes that doesn't happen.

     
  41.  
    1228:

    Twitter users have been planning flash mob protests outside Barclays branches today and one branch that seems to have been targeted is in Victoria. Using the #ByeBarclays hashtag, the flash mob made its way to Barclays' branch in Victoria Street armed with banners denouncing the bank.

     
  42.  
    1228:

    Labour veteran Michael Meacher asks about capital gains tax - and receives a reminder from the PM about his role as a minister in the previous government.

     
  43.  
    1229:

    Lib Dem Duncan Hames asks about millennium development goals.

     
  44.  
    1231:

    More protests - people from the Move Your Money campaign group are putting up posters on a branch of Barclays in Westminster.

    Barclays, Westminster
     
  45.  
    1232:

    The DUP's Nigel Dodds asks if businesses can be protected from the Ulster Bank debacle. Mr Cameron says he will ensure HMRC look into any issues.

     
  46.  
    Peter Henley Political editor, South of England

    tweets: Queue for #BobDiamond could be longer than #wimbledon #pmqs

     
  47.  
    1235:

    Over on the Guardian there's a readers' poll on that memo released yesterday detailing a conversation between Mr Diamond and Bank of England deputy Paul Tucker.

     
  48.  
    1236:

    Another Labour call for a free vote on a judge-led inquiry is given short shrift by Mr Cameron. He accuses Ed Miliband of trying to block an inquiry by MPs because Labour does "not want it's dirty laundry aired in public".

     
  49.  
    1236:

    Banking shares are trading lower in London amid fears that other banks will be implicated in the rate-rigging scandal when Mr Diamond is grilled by MPs later. You can see the latest banking share prices on the BBC's market data page here.

     
  50.  
    Norman Smith Chief political correspondent, BBC News Channel

    tweets: PM not give backing to free vote on bank inquiry #diamond

     
  51.  
    1237:

    A veritable stampede of MPs from the green benches as prime minister's questions comes to an end. Not much interest in Health Secretary Andrew Lansley's statement, apparently.

     
  52.  
    1239: Ellie Mae O'Hagan

    tweeted this picture of a flashmob outside Barclays on Victoria Street, London

    Flashmob outside Barclays Bank
     
  53.  
    1241: Breaking News Nick Robinson Political editor

    I can reveal that the Prime Minister called the Labour leader Ed Miliband yesterday to discuss how to set up an inquiry into banking. Labour sources said that Ed Miliband told David Cameron that "if he wanted cross party consensus he was not going about it the right way" and asked him "to control those around you" who were talking about putting Ed Balls and other Labour figures in the dock. The Prime Minister's aides say that he was explaining how the government intended to allow the Commons to vote on Thursday when there will be two motions - one backed by Labour to set up a judicial inquiry and one proposed by the government to set up a parliamentary inquiry.

     
  54.  
    1241: Nick Robinson Political editor

    It is significant - as James Landale's earlier copy revealed - that the motion for the Parliamentary inquiry is vague and, therefore open to change. Also, today Downing Street is saying that the parliamentary committee can, in effect, set its own remit.

     
  55.  
    Keith in Basingstoke

    emails: I am a Barclays customer. I have been for 40 years. I am very worried indeed that I will be the one picking up the bill for Barclays misgivings?

     
  56.  
    1245: Breaking News

    Bank of England deputy governor Paul Tucker requests a hearing with the Treasury Select Committee "as soon as possible" following the publication of settlement agreements by Barclays with UK and US regulators in relation to the attempted manipulation of Libor and Euribor.

     
  57.  
    1246: Breaking News

    "Mr Tucker is keen to give evidence to the Committee in order to clarify the position with regard to the events involving the Bank of England, including the telephone conversation with Bob Diamond on 29 October 2008," the Bank of England says in a statement.

     
  58.  
    1250:

    Just a reminder of what that email from Bob Diamond to then Barclays chief John Varley in 2008 said: "Further to our last call, Mr Tucker reiterated that he had received calls from a number of senior figures within Whitehall to question why Barclays was always toward the top end of the Libor pricing... Mr Tucker stated the levels of calls he was receiving from Whitehall were "senior" and that while he was certain we did not need advice, that it did not always need to be the case that we appeared as high as we have recently."

     
  59.  
    1258:

    With Bob Diamond's appearance in front of the Treasury Select Committee a little over an hour away, here's a reminder of the key players in the Barclays scandal.

     
  60.  
    1259:

    The BBC understands that as yet the Treasury Select Committee has no date for seeing Paul Tucker, and has not so far considered whether to call him. It will consider that some time after Mr Diamond's hearing today.

     
  61.  
    1303:

    Coming up on the World at One on BBC Radio 4, an exclusive interview with Baroness Vadera, a key Labour minister in 2008.

     
  62.  
    1304:

    Baroness Vadera denies she spoke to the Bank of England about fixing Libor rates. We'll bring you the highlights from that interview.

     
  63.  
    1313:

    Baroness Vadera, who yesterday said she had "no recollection" of talking to Paul Tucker about Libor, is now more categorical: "No I didn't speak to Paul Tucker or anyone at the Bank of England about the rate setting of Libor. I didn't speak to Paul Tucker about Libor."

     
  64.  
    1314:

    She explains her previous comment: "I'm afraid I was at an airport going through security when I was asked that question yesterday."

     
  65.  

    Baroness Vadera, a former investment banker, was one of Gordon Brown's closest economic advisers.

    Shriti Vadera
     
  66.  
    1318:

    On the previous government's concern about Libor, Baroness Vadera says: "I can only speak for myself. I can't speak for others in government. Of course Libor was a concern. There's nothing wrong with concerning yourself with access to credit. It's the job."

     
  67.  
    1320: Ross Hawkins Political correspondent, BBC News

    tweets: Campaigners dressed as Robin Hood loiter outside parl near snappers waiting for Bob Diamond. Snappers not interested

     
  68.  
    1326:

    In an interview with the Spectator magazine, Chancellor George Osborne denies the Bank of England urged Barclays to get its Libor rate down. This charge has been "specifically addressed, not just by our own investigators at the Financial Services Authority but also in the US Department of Justice and they are not people who will pull their punches and they're very clear that the Bank did not issue instructions to Barclays to cut its Libor rate", he says.

     
  69.  
    1327:

    "As for the role of the Labour government and the people around Gordon Brown, well I think there are questions to be asked of them," Mr Osborne tells the Spectator.

     
  70.  
    1328: Kevin in Nottingham

    emails: I have been banking with Barclays for over 30 years. We do have the option to vote with our feet and change banks. However, given that other banks are implicated it is difficult to know where to turn.

     
  71.  
    1332:

    According to PR Week Barclays has enlisted Portland PR to help with crisis response.

     
  72.  
    1339:

    Bob Diamond arrives to face MPs, surrounded by a scrum of photographers. Pictures to follow.

     
  73.  
    1344:

    The former Barclays boss is all smiles as he arrives to face the Treasury Select Committee but Mr Diamond is sure to face a grilling by MPs.

    Bob Diamond
     
  74.  
    1354:

    A note on timings - the Treasury Select Committee hearing with Bob Diamond is expected to start at 1400 and is expected to last for two to three hours.

     
  75.  
    Wall Street Journal columnist Simon Nixon

    tweets: Paul Tucker evidence may turn out to be more revelatory than Bob Diamond as Diamond still gagged by terms of FSA settlement order. #libor

     
  76.  
    Norman Smith Chief political correspondent, BBC News Channel

    Bob Diamond seems to be spoiling for a fight.

     
  77.  
    Norman Smith Chief political correspondent, BBC News Channel

    He will also be on a personal mission to try to salvage his reputation.

     
  78.  
    Ross Hawkins Political correspondent, BBC News

    tweets: Lots of would be Diamond watchers kept in holding room in Portcullis House. Police showing no sign of letting them into hearing

     
  79.  
    Norman Smith Chief political correspondent, BBC News Channel

    This is going to be absolute parliamentary box office.

     
  80.  
    Graham in Guernsey

    emails: The lynch-mob mentality is appalling to see, especially when branch staff on the retail side are targeted. Demonstrate outside the bank's head office if they feel so constrained but many branch staff will never have heard of LIBOR before this debacle, let alone understand what happens higher up in the organisation.

     
  81.  
    1411:

    So who are the MPs that will be quizzing Mr Diamond? Find out here.

     
  82.  
    Matthew

    tweets: I've been with Barclays for over 20 years. I am so disgusted & leaving to join the Co-op. Other banks are just same.

     
  83.  
    Robin Brant Political Correspondent, BBC News

    The select committee is ready and waiting. one empty seat on the panel. Bob Diamond all in blue.

     
  84.  
    1413:

    The committee sharpen their pencils in anticipation.

    Committee
     
  85.  
    1414:

    Andrew Tyrie opens up with an appeal to Mr Diamond to speak freely, reminding him that he is protected by parliamentary privelege and is now unemployed.

     
  86.  
    1414:

    Bob Diamond: "I love Barclays. 16 years ago I joined Barclays and it's been 16 years of tremendous enjoyment."

     
  87.  
    1416:

    Diamond: "I worry that the world looks at [Barclays as] a small group of traders whose actions were "reprehensible"

     
  88.  
    1417: Robin Brant Political Correspondent, BBC News

    Diamond straight out of the stalls with a staunch defence of Barclays conduct, says it "has not come out in court of public opinion".

     
  89.  
    Breaking News Sky News

    tweet: Barclays says it has a recording of 2008 phone call between Bob Diamond and Paul Tucker

     
  90.  
    1418:

    Diamond: "We [Barclays] need to get through this period and the best way for me to do that was to step down."

     
  91.  
    1419:

    Diamond says decision was made to step down on Monday when it became clear that support from regulators "wasn't that strong".

     
  92.  
    1420: Robin Brant Political Correspondent, BBC News

    Tyrie quite insistent his witness answers questions, doesn't want him to evade issue of Mervyn King/Adair Turner's role.

     
  93.  
    Richard in Peterborough

    emails: I worked for Barclays for 31 years and as a staff pensioner these things are of concern for whether it might affect the bank pensioners. Regulation has failed us by not keeping up with ever more complex financial 'toys' which most folk fail to understand.

     
  94.  
    1424: Robin Brant Political Correspondent, BBC News

    "I didn't recall" featured in several responses from Diamond already. It's clear Tyrie is playing hard-ball on the culture the former chief executive oversaw.

     
  95.  
    1425:

    Committee chairman Andrew Tyrie asks if in a February meeting with the FSA, the regulator expressed concerns, saying it had lost confidence in Diamond's team at Barclays. Diamond says the FSA said they felt there were "some culture issues" but were "specifically happy" with the focus and tone at the top of the bank.

     
  96.  
    1429: Robin Brant Political Correspondent, BBC News

    Tyrie appears to be trying to clear Paul Tucker of any blame in the Barclays rate rigging.

     
  97.  
    1429: Robin Brant Political Correspondent, BBC News

    Twenty minutes in and it's fair to say Mr Diamond does not appear to be a confident, well prepared witness

     
  98.  
    Sarah Corbett

    emailed this picture of protestors (dressed as Robin Hood) outside the Houses of Parliament.

    Protestors dressed as Robin Hood
     
  99.  
    Joe Lynam BBC Newsnight

    tweets: Diamond Bob wiping his upper lip and gulping his water.He seems nervous and certainly very humble

     
  100.  
    1432:

    Sky News now say Barclays have issued a correction saying it does NOT have recording of 2008 phone call between Bob Diamond and Paul Tucker.

     
  101.  
    Lynda in Dubai

    emails: I am ashamed to be British and even more ashamed to be a customer of Barclays. I can't change being British but I can certainly change being a Barclays customer.

     
  102.  
    1434: Robin Brant Political Correspondent, BBC News

    Smiles from Bob Diamond as Tyrie forces him to say that he believed "Whitehall" in that note of that Bank of England phone call referred to "officials in the government" - ie civil service.

     
  103.  
    Norman Smith Chief political correspondent, BBC News Channel

    tweets: Tyrie getting fed up with Diamond non answers .."get to the point" #diamond

     
  104.  
    1440: Robin Brant Political Correspondent, BBC News

    All very friendly between Bob Diamond and Tory MP Jessie Norman, who have brief exchange, with wry smiles, about the time they both worked for Barclays subsidiary BZW.

     
  105.  
    1440:

    Diamond says he did not believe there was an instruction to lower Libor despite a perception in Whitehall that Barclays' rates were high, relative to other banks.

     
  106.  
    1442: Robin Brant Political Correspondent, BBC News

    Diamond smiling more often now and nonchalantly cleaning glassesas he faces questions from Jessie Norman.

     
  107.  
    1446:

    Asked if the Bank of England was slow to respond to the 2007-08 financial crisis, Diamond says: "I wouldn't call [my view] critical - we were encouraging more activity from the Bank of England in the money markets." He also says: "I think the Fed took the lead."

     
  108.  
    1448: Robin Brant Political Correspondent, BBC News

    Jesse Norman appeared to be more supportive of the witness and the decisions made by the bank he used to run. "Sympathetic questioning" might be a fair way of describing it.

     
  109.  
    1449:

    Diamond: "Paul [Tucker] didn't mention who he was referring to [in Whitehall] or I would have put it in the note. I wouldn't want to speculate." But Diamond says he believes it was "senior people in the government".

     
  110.  
    Norman Smith Chief political correspondent, BBC News Channel

    tweets: Bob Diamond "No derivative person would consider me a derivative person" ie I'm not a casino bod #diamond

     
  111.  
    1451: Robin Brant Political Correspondent, BBC News

    So Jesse Norman MP used to work for Barclays, Michael Fallon MP has declared an interest in a brokerage involved in investigating the Libor scandal...

     
  112.  
    1454:

    Diamond says he cannot recall if he met Shriti Vadera before the 2008 phone call with Paul Tucker. Meetings were primarily driven by then chief executive John Varley, he says.

     
  113.  
    1455:

    Diamond makes an important point that the sharp fall in his bank's Libor submissions in late October 2008, and the fall in the Libor rate generally, was not due to manipulating the Libor submission after getting a nod and a wink from Paul Tucker, but because two days later Barclays raised £6.7bn from Middle Eastern investors. This improved the bank's standing in the financial markets and lowered its cost of borrowing - which meant it could genuinely lower its Libor submissions.

     
  114.  
    Nick Robinson Political editor

    tweets: Ah.....so not officials but ministers expressing concerns re Libor

     
  115.  
    1458: Robin Brant Political Correspondent, BBC News

    Michael Fallon is playing the role of treasury select committee member AND Tory party deputy chairman, with "Shriti" [Baroness Vadera] questions on the role of the former Labour government City fixer.

     
  116.  
    1459:

    Michael Fallon asks how Jerry del Missier, another senior executive at Barclays who resigned on Tuesday, could have misconstrued the conversation Diamond had with Paul Tucker. "I can't put myself in Jerry's shoes," says Diamond.

     
  117.  
    1502: Robin Brant Political Correspondent, BBC News

    Committee chairman Andrew Tyrie in complete control of proceedings: assertive and accusative.

     
  118.  
    1505: Breaking News

    Diamond admits he only discovered that "low-balling" - lowering the Libor price - was going on this month.

     
  119.  
    1507: Robin Brant Political Correspondent, BBC News

    Bob Diamond is often using the politician's linguistic technique of referring to the questions put to him as "important questions".

     
  120.  
    1507:

    David Ruffley, Conservative: "Why on earth didn't you know that this was going on on your watch?"

     
  121.  
    1511:

    Diamond: "When I read the emails from those traders I was physically ill. Should those actions be dealt with? Absolutely. That behaviour was reprehensible." But stops short of saying bankers should face criminal prosecution.

     
  122.  
    1512:

    Diamond "wasn't aware" of George Osborne's comments that his resignation was good for the country.

     
  123.  
    1513: Robin Brant Political Correspondent, BBC News

    Mr Diamond makes his most impassioned defence of his conduct and the conduct of Barclays. He repeatedly says he "loves Barclays".

     
  124.  
    1517: Robin Brant Political Correspondent, BBC News

    Tytrie choosing once again to adopt confrontational tone with the witness, says committee might be "sceptical" about evidence.

     
  125.  
    Jesse Norman

    tweets : a deliberate move on his part. I haven't seen the man for 15 years, and barely then.

    In reply to a tweet from Hugo Dixon saying: Doesn't look good for Jesse Norman MP that Diamond keeps calling him "Jesse". Makes MPs/City looks too chummy.

     
  126.  
    Norman Smith Chief political correspondent, BBC News Channel

    tweets: Bob Diamond repeatedly professing "love" for Barclays. Methinks British banker wouldn't go in for all that gooey stuff #barclays

     
  127.  
    1522:

    Diamond: "This was not about lowering Libor rates, this was about..." George Mudie, Labour, cuts him off: "No, this was about not nationalising Barclays."

     
  128.  
    1524: Robin Brant Political Correspondent, BBC News

    Bob Diamond barely able to get a word in under questioning from Labour's George Mudie who is close to contemptuous of the former Barclays boss.

     
  129.  
    1524:

    George Mudie presses Diamond on how all of this could have gone on under his watch, suggesting that the former Barclays boss was either incompetent or dishonest. Diamond looks ruffled.

     
  130.  
    Norman Smith Chief political correspondent, BBC News Channel

    tweets: Bob D goes for first names of committee members #defusehostility #diamond

     
  131.  
    1525: Robin Brant Political Correspondent, BBC News

    Bob Diamond appears a little weary now, particularly after that onslaught from Labour's George Mudie.

     
  132.  
    Nick Robinson Political editor

    tweets: Bob D says it wasn't Alastair Darling who he feared would nationalise Barclays but hints feared someone else. Who?

     
  133.  
    1526:

    Bob Diamond says he wasn't referring to former Chancellor Alastair Darling in his comments about the government fearing Barclays might need a bailout.

     
  134.  
    Kevin Maguire

    tweets: Treasury Committee questioning of Bob Diamond making the case for a judge-led independent inquiry

     
  135.  
    Breaking News

    Diamond: "I understand there will be follow-up criminal investigations" on some former Barclays people.

     
  136.  
    1532: Robin Brant Political Correspondent, BBC News

    Tory MP Andrea Leadsom is conducting some aggressive questioning on the specifics of trading floor supervision and compliance. She is also former Barclays employee.

     
  137.  
    1534:

    Diamond refuses to blame Barclays' compliance department, whose function it was to look for criminal activity. He solely blames the 14 traders for their behaviour.

     
  138.  
    Ross Hawkins Political correspondent, BBC News

    tweets: Members of public allowed in to fill empty seats. Not the ones with the I heart Occupy badges mind

     
  139.  
    1538: Robin Brant Political Correspondent, BBC News

    Interesting words from Diamond in response to Andrea Leadsome when he says he blames "individuals" for this bad behaviour, not a wider culture or systemic issues, at Barclays

     
  140.  
    1544: Robin Brant Political Correspondent, BBC News

    Labour's Andy Love pushing his leaders' lines on calls for independent inquiry and Diamond sacrificing a large slice of his severance package.

     
  141.  
    1544:

    Diamond reiterates that even though Barclays is the only bank currently in the frame, it is clear that attempts to manipulate Libor rates were industry-wide.

     
  142.  
    John Prescott

    tweets: Tory Deputy Chairman Michael Fallon's partisan questioning of Diamond has just proved we need an independent judge-led inquiry

     
  143.  
    1548: Robin Brant Political Correspondent, BBC News

    Bob Diamond glad to hear praise from one MP who praises him for success at Barclays Capital: "just looking for some love" he says with a smile.

     
  144.  
    Robert Peston Business editor

    tweets: Can you imagine Diamond calling Lord Justice Leveson "Brian" in the way he is on first name terms with all committee members? He isn't awed

     
  145.  
    Norman Smith Chief political correspondent, BBC News Channel

    tweets: Bob Diamond says there was a "No Jerk Rule" at Barclays where those who misbehaved had to leave #diamond

     
  146.  
    Paul Mason Economics editor, Newsnight

    tweets: OK here's a suggestion for a question. "Did you think Tucker referring to Shriti, yes or no? Darling [Y/N] Brown? [Y/N]" and keep going.

     
  147.  
    1559:

    Michael Garnier trying to get to the bottom of why the Libor rate setting sytem was "so flawed".

     
  148.  
    1559:

    Diamond makes clear he will not stand in the way of criminal investigations.

     
  149.  
    Ross Hawkins Political correspondent, BBC News

    tweets: Michael Fallon stifles a yawn, chats to colleagues. Even the Barclays "no jerk" rule doesn't seem to have excited them.

     
  150.  
    1603:

    An all-powerful Bank of England is needed to re-impose discipline on the City, financial historian Professor Niall Ferguson tells the BBC's Hardtalk programme

     
  151.  
    1603:

    Diamond: "Do I believe ethics and integrity and values are important? You bet."

     
  152.  
    Paul Mason Economics editor, Newsnight

    tweets: You have to remember that the global financial markets are watching this: the first opp anybody in UK power had to publicly quiz Diamond.

     
  153.  
    1605:

    Diamond says the 2008 Paul Tucker call came to him in his office in New York.

     
  154.  
    Norman Smith Chief political correspondent, BBC News Channel

    tweets: Bob Diamond on his resignation - "I was responsible....but that's different from pesonal culpability" #diamond

     
  155.  
    1612:

    Diamond uses the "I love Barclays" line one too many times. "You've not even met Barclays, let alone love Barclays!" retorts Teresa Pearce.

     
  156.  
    1613:

    Diamond repeats that Barclays took appropriate action when it found out about the wrong doing and sought to lead the field. But admits: "We did not think the focus on this would be as intense in terms of hurting our brand and reputation."

     
  157.  
    Robert Peston Business editor

    tweets: Strikingly Bob Diamond knew that the LIBOR-setting system stank but did not know that his own traders were trying to fiddle LIBOR

     
  158.  
    Jon Snow

    tweets: One of the brightest men in casino banking anywhere-Diamond had little idea what was going on in his bank,from mis-selling to fiddling rates

     
  159.  
    Jon Snow

    tweets: MPs simply pursuing their own agendas with Diamond..no opressure on him no coherence in questioning..no team work on the Select Committee

     
  160.  
    1619: Ross Hawkins Political correspondent, BBC News

    Much note passing, chatter and amused glancing between MPs Fallon and Ruffley

     
  161.  
    1622: Breaking News

    From the Downing Street lobby: The PM's spokesman says the Government's proposal is for MP Andrew Tyrie to chair the Joint Committee on the conduct of the banks. He said the standing rules for a joint committee are for it to be made up of six members of each House. He said the future of the banks was " a massive public policy issue" and it was right for parliament to look at the issue and work out the best way forward. The spokesman said the PM had been in meetings and not watching Mr Diamond before the Committee.

     
  162.  
    1623:

    Diamond says he personally did not publicise the email regarding the Paul Tucker call. "Barclays released the package."

     
  163.  
    Roland Watson

    tweets: 'we can't say no one knew there was an issue around Libor in the industry', says ‪#diamond‬. yet he only knew about it at Barc this month..?

     
  164.  
    1625:

    Having claimed to love Barclays so much, Diamond is asked what the principles were of the bank's founding Quakers. He is silent.

     
  165.  
    1625:

    The answer? Honesty, integrity and plain dealing, we're told.

     
  166.  
    Robert Peston Business editor

    tweets: Diamond's note of Tucker chat says Tucker's "advice" was Barc's Libor submissions did not need to be so "high". MPs haven't asked meaning

     
  167.  
    1629:

    John Mann seems sceptical that Diamond could "see nothing, hear nothing, know nothing" in the three-year period when Libor was being fixed from 2005-2007. Accuses him of being either grossly negligent or grossly incompetent.

     
  168.  
    1630:

    John Mann: "You must have been grossly incompetent if you weren't complicit in this."

     
  169.  
    Peter in Milton Keynes

    emails: I was once a proud employee of Barclays and am now ashamed to mention that I worked for them. So sad.

     
  170.  
    1631: Robin Brant Political Correspondent, BBC News

    Labour's John Mann clearly seeking to paint a picture of Bob Diamond as a chief executive who was detached from the coal face and was unapproachable. He asks why concerns of those who didn't go along with rate fixing weren't passed to him.

     
  171.  
    Tim Shipman

    tweets: Bob Diamond gives his stoat like grin at suggestion he is Geoffrey Boycott. Couldn't be happier with Thurso claim he has given nothing away

     
  172.  
    1640:

    Labour MP John Mann suggests Diamond give up his shares in Barclays. "Then you might get a little love."

     
  173.  
    1641:

    Questioning moves on to Lib Dem John Thurso, who compares Diamond to former English cricketer Geoffrey Boycott - "occupying the crease for many hours and I'm not sure we're getting any further forward".

     
  174.  
    Paul Mason Economics editor, Newsnight

    tweets: Question: why did the compliance guy promise then fail to raise trader's concerns about del Missier instruction to fiddle LIBOR?

     
  175.  
    1646:

    John Thurso suggests the "One Barclays" model does not work. "We need a culture that understands the High Street and a culture that understands the City. If we put them together we lose."

     
  176.  
    1650:

    Diamond replies that "One Barclays" refers not to a business model, but to a culture.

     
  177.  
    Paul Waugh

    tweets: Thurso points out Diamond knew about April writ re Libor. But Diamond told Cttee 1st he knew of it was in June. Skewered?

     
  178.  
    Norman Smith Chief political correspondent, BBC News Channel

    tweets: Protestors with some empty bottles of Bollinger waiting outside for Bob Diamond to emerge #diamond

     
  179.  
    1700:

    On that Paul Tucker conversation again, Diamond says, "He was pointing out the problem and I was pointing out the problem wasn't with Barclays, the problem was with other submissions." He adds he didn't see Tucker's comments as a directive but as a "heads up" that Barclays' rates were pretty high.

     
  180.  
    1708:

    Drawing to an end now. Diamond is asked for any final remarks.

     
  181.  
    1709:

    In his final submission, Bob Diamond says: "I know Barclays would still act the same way [if something like this were to happen again] to come out and be the first to correct it. But I worry that the impact of being first and the recation to the one firm that's out first outside of the industry contact doesn't create great incentive for others to come forward."

     
  182.  
    1709:

    He adds that he looks forward to the wider investigation into Libor, and Barclays will help if it can.

     
  183.  
    1712:

    And that's it in the Wilson Room, Portcullis House. Just as when he entered the building, there's a media scrum there for Diamond's departure.

     
  184.  
    1722:

    Talking on the News Channel after the committee winds up, Tory MP David Ruffley says he is not satisfied by the answers Mr Diamond gave him and his colleagues: "He [Diamond] was inviting us to believe that at the very top of Barclays, between 2005 and 2009 while his executives were lowballing (fixing interest rates) he knew nothing about it. Either he was complicit or incompetent. It's staggering and quite difficult to believe that as successful a banker as this was stupid"

     
  185.  
    1723: Norman Smith Chief political correspondent, BBC News Channel

    Bob Diamond stuck to the line doggedly throughout that he heard no wrong doing, saw no wrong doing, and knew of no wrong doing. He emerged unbloodied and unbowed. But this is very far from the end of the matter for Bob Diamond.

     
  186.  
    1725:

    That winds up the Live Page for now. Before his appearance today, there was much talk that Bob Diamond would come out with all guns blazing, with perhaps some at the Bank of England and in the previous government nervously awaiting his testimony. Yet he refused to finger anyone for attempting to put his bank up to rate fixing. He played a pretty straight bat. In fact, his one smirk during his appearance came when one MP told him he had given little away. Don't forget you can follow the story as it develops on our main news page

     

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