Barclays boss steps down over Jeffrey Epstein links

Jes Staley, chief executive of banking giant Barclays, has resigned from his post at the business following an investigation into his relationship with disgraced financer and sex offender Jeffrey Epstein.

It comes after the UK financial watchdog and the Bank of England launched an inquiry into Staley’s links with Epstein.

Conclusions of the investigation were revealed last week, which prompted Staley to share that he would contest them.

Despite this, the bank and Staley agreed that he should stand down from his role, reported the BBC.

The bank explained: “It should be noted that the investigation makes no findings that Mr Staley saw, or was aware of, any of Mr Epstein’s alleged crimes, which was the central question underpinning Barclays’ support for Mr Staley following the arrest of Mr Epstein in the summer of 2019.”

Barclays added that it was “disappointed at this outcome”.

The business said that the regulatory process still had to continue and was therefore not appropriate for it to comment further on the preliminary conclusions.

Staley and Epstein’s links

Prior to joining Barclays, Staley was positioned at JP Morgan, where in 2000 he formed a relationship with Epstein.

He was then a client of the US investment bank and was convicted of soliciting prostitution from a minor in 2008. However, Staley admitted he maintained contact with Epstein for seven years after his conviction.

In 2019, Epstein died in a New York prison cell.

Impact on employer branding

Staley and the bank’s decision for him to step down will likely act as a form of damage control to improve Barclays’ employer branding, particularly as the former chief exec was tied to the sex offender.

However, Barclays stated that following Epstein’s death, Staley had “volunteered and gave to certain executives, and the chairman, an explanation of his relationship with Mr Epstein”.

Despite this, the bank has revealed that Staley will be taking 12 months of pay with him totalling £2.4m, as well as his pension allowance equating to £120,000 for the year and any other benefits.

These financial rewards he will be taking home could potentially be received negatively by employees at the business as well as external individuals, considering his links to the disgraced financer.

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