Barclays has admitted the public’s trust in banks has “been decimated and needs to be rebuilt” as it set out measures aimed at rebuilding its reputation in the wake of Libor rigging.

Announcing the appointment of veteran lawyer-turned-banker Anthony Salz to lead a review of its operations, Britain’s second-largest lender on Tuesday said the scandal that saw chief executive Bob Diamond and chairman Marcus Agius resign showed “banks need to revisit fundamentally the basis on which they operate, and how they add value to society”. Describing the “daunting” task ahead of it, Barclays said it needed a culture change that would see it “affirming key values” with “reinforcing mechanisms” to ensure staff behaved appropriately. Alluding to management and pay, it added “visible leadership” and rewards would have to be aligned to these values. The review will see Mr Salz interview investors, regulators and staff over the coming months and his findings are expected to be published in the spring. Barclays said it planned to implement the findings of the Salz Review in full. “Barclays has a real opportunity to use the events of the past weeks to drive a change in its values and practices. I look forward to hearing views on the changes that should be made,” Mr Salz said. “I hope that this review will significantly assist Barclays in rebuilding trust and reaffirming its position as one of our leading institutions.”