Barclays is battling investor pressure to pursue a spin-off of its high street operations from the bank’s investment banking arm.
The Telegraph reports that it is understood that about a fifth of its shareholder base favours a full split that would leave the two divisions with separate stock market listings. Barclays is in the midst of applying new ring-fencing rules that come into force at the start of 2019. The rules, introduced after the 2008 banking meltdown, stop short of demanding a full break-up.
However, some big investors would like the bank to go a step further and pursue a more radical separation amid concerns about weak profitability and the fines it has received for past misconduct. “There’s a lot of UK investors that wished they didn’t have an investment bank,” said one senior fund manager, who holds Barclays shares.
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