Barclays chairman, Marcus Agius
Barclays has promised a "root and branch review" and announced the resignation of its chairman, Marcus Agius following the inter-bank lending rate-fixing scandal, reports the BBC.
In his statement, Agius said: "The buck stops with me."
Last week Barclays was fined £290m ($450m) for attempting to manipulate the Libor inter-bank lending rate.
Barclays' chief executive, Bob Diamond will appear before MPs on the Treasury Committee on Wednesday.
Agius is due to answer their questions on Thursday.
He is also currently chairman of the British Bankers' Association (BBA) which is responsible for the governance of Libor.
Barclays said Agius would remain in his post until "an orderly succession is assured".
Agius, who also serves on the BBC's executive board, said last week's events were evidence of "unacceptable standards of behaviour within the bank".
He said the findings had "dealt a devastating blow" to Barclays' reputation.
As a result, Barclays' board has launched an audit of its business practices, which will be conducted by an independent body and report to the new deputy chairman, Sir Michael Rake.
Barclays will establish a "zero tolerance policy" to anything that damages its reputation, the bank said in the statement.
Sir Michael Rake, BT chairman and senior independent director at Barclays, has been appointed deputy chairman at the bank. He is seen as a likely successor to Agius.
Sir John Sunderland, a non-executive director of Barclays, will begin the search for a new chairman from Monday.
The leader of the opposition, Ed Miliband underlined the importance of "restoring trust" in British banks. "I really don't think that can be done by [Chief executive] Bob Diamond," he said.
Miliband called for a full public inquiry into the banking industry and the introduction of a new professional code for bankers.
The Labour leader also called for criminal charges to be brought against those involved in the rate-fixing scandal.
Barclays was fined after the Financial Services Authority (FSA) found its traders had lied about the interest rate other banks were charging it for loans. Investigations are also under way at RBS, HSBC, Citigroup and UBS.
Giving a lower reading than the true rate would give the impression that Barclays was considered a better lending risk than it actually was.
Reporting a higher reading than the real rate could have inflated trading profits artificially, misleading investors and regulators.
Libor (London Inter Bank Offered Rate) is the rate at which banks in London lend money to each other.