LONDON, (Reuters) - A scandal over the rigging of key interest rates could create a legal morass that may hamper the global banking industry for years, analysts said, as the head of Barclays fought to hold onto his job.
With the Times newspaper naming RBS as the next bank facing a fine for its alleged involvement in manipulating the key lending rate between banks, the head of the Bank of England said there needed to be "real change" in the industry's culture.
"That will require two things. One is leadership of an unusually high order and changes to the structure of the industry," Mervyn King told a news conference, adding he hoped that the UK parliament would legislate as soon as possible.
U.S. and British authorities fined Barclays $453 million on Wednesday for manipulating the London interbank offered rate (Libor), which underpins some $360 trillion of loans and financial contracts around the world - and analysts forecast more banks would soon be named for collusion.
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