Group of investors urges Barclays to quit UK

Barclays referred to recent comments made by executives. -- PHOTO: AFP

LONDON - A GROUP of major shareholders in Barclays would prefer the British bank to be domiciled outside the UK, the Sunday Telegraph reported.
The newspaper said the group, believed to account for more than 10 per cent of the bank's equity, had told the board a domicile in New York or elsewhere would be better from a tax and a regulatory perspective.
The climate for major banks in Britain was becoming 'increasingly toxic', it quoted one unidentified institutional investor as saying.
Barclays referred to recent comments made by executives.
Chief executive Bob Diamond last month said Barclays was looking at options for its domicile, while New York City Mayor Michael Bloomberg said he would welcome the bank which has been based in Britain since it was founded in 1690. However, Mr Diamond said the bank hoped not to move.
Some major shareholders in top UK banks have told Reuters the lenders need to consider moving if regulations become too draconian, although proposals last week from a powerful panel assessing UK banks was less harsh than many bankers feared. -- REUTERS

Source : The Straits Times