Bank scraps commission for staff

From December 1, all 18,000 branch and call centre staff will have no commission or incentives based on products sold and bonuses will be based wholly on customers’ views about the level of service they receive.

Chief executive Antony Jenkins has said the move is part of Barclays’ journey towards regaining customers’ trust.

The announcement comes after the City watchdog recently said it would look to introduce new rules if the financial sector does not address the use of incentive schemes, which it said were driving staff to mis-sell products in order to receive a bonus.

The industry has already put £10bn aside to pay back customers who were mis-sold payment protection insurance (PPI), in what has become the biggest consumer mis-selling scandal regulators have ever seen.

The Financial Services Authority (FSA) has been investigating taxpayer-backed Lloyds Banking Group over huge sales bonuses to frontline staff.