John Varley, finance director at Barclays who married into one of the bank's founding families, has beaten internal rival Bob Diamond to take over as chief executive. The move ends weeks of speculation over succession.

Matt Barrett, the current chief executive, is to step up to the chairmanship. Barrett, the Irish-Canadian banker, will take over from departing chairman, the former Treasury mandarin Sir Peter Middleton. His elevation goes against the rules of the Combined Code on corporate governance.