BT chief executive Gavin Patterson will step down later this year after he lost support from shareholders to lead the company through a vital restructuring of the business. Jan du Plessis, chairman of BT, had stuck by Mr Patterson and backed his chief executive a month ago when the company said it would cut 13,000 jobs and deliver huge cost savings as part of the biggest overhaul of the business in a decade. However, the shares continued to drift and support for the chief among investors faded.
Paul Pester’s future as chief executive of TSB has been called into question by the chair of a committee of MPs, who said it had lost confidence in his ability to deal with the catastrophic consequences of a bungled switch in IT systems. In an unusually aggressive move, Nicky Morgan, chair of the Treasury select committee, said in a letter to Richard Meddings, TSB chairman: “The TSB board should give serious consideration as to whether Dr Pester’s position as chief executive of TSB is sustainable.”
The LSE experienced a nail biting situation on Thursday when it tentatively announced it was dealing with a “technical software issue” which led to its first major trading blackout in more than seven years. The glitch stopped traders from dealing on the exchange’s pre-open auction system and delayed the market open by an hour. After an initial delay in communication, a spokesperson for the LSE said “to ensure orderly trading, the LSE decided to delay the market open while the matter was investigated and informed market participants accordingly.” The blackout follows a high-profile outage of Visa’s services in the UK which took down the payment platform’s systems in the UK last week.