Barclays bank today revealed that it will pay fines of £290m sterling to British and US authorities over a probe into rate manipulation.

Barclays CEO Bob Diamond said that he and other senior executives at the bank would forgo their annual bonuses due for work in 2012.

Barclays said it had agreed settlements over "an industry-wide investigation into the setting of interbank offered rates across a range of currencies." 

"In connection with these resolutions, Barclays has agreed to pay total penalties of £290m," it said.

The agreements had been reached with the British Financial Services Authority, the US Commodity Futures Trading Commission and the US Department of Justice Fraud Section.

"To reflect our collective responsibility as leaders, Chris Lucas, Jerry del Missier, Rich Ricci and I have voluntarily agreed with the board to forgo any consideration for an annual bonus this year," Diamond said.

In a separate statement, the UK's Financial Services Authority said its own fine totalled a record "£59.5m for misconduct relating to the London Interbank Offered Rate (LIBOR) and the Euro Interbank Offered Rate (EURIBOR)."

"This is the largest fine ever imposed by the FSA," it added.

The FSA's acting director of enforcement and financial crime, Tracey McDermott, said Barclays' misconduct had been "serious, widespread and extended over a number of years."

"The integrity of benchmark reference rates such as LIBOR and EURIBOR is of fundamental importance to both UK and international financial markets," she said.

The FSA said that it was continuing "to pursue a number of other significant cross-border investigations" related to this area.

"Barclays co-operated fully during the FSA's investigation and agreed to settle at an early stage. The firm qualified for a 30% discount under the FSA's settlement discount scheme. Without the discount the fine would have been £85m," it added.

LIBOR and the EURIBOR are benchmark reference rates that indicate the interest rate which banks charge when lending to each other and are fundamental to the operation of both UK and international financial markets, the FSA said.