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A British takeover specialist has been made Deutsche Bank CEO in hopes of restoring the brand

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Deutsche Bank was ordered to fire several members of staff for manipulating Libor submissions between 2005 and 2010. The $2.5bn ( £1.7bn) fine it received was bigger than those levied on other banks, in part because Deutsches staff misled regulators and tried to cover up the offences.

It was not just a few bad traders who got out of hand one day, it is a more deep-seated cultural problem,”said Mark Taylor from Warwick Business School. “It is important for the City that someone senior takes responsibility. If nobody resigns then it feels like business as usual.

Echoing Taylor’s statement, representatives of Deutsche Banks investors urged Achleitner to reassess his top personnel. This is something thatAchleitner has agreed with. He suggested that plansto restructure the bank and the management team were the logical consequence of the new strategy announced in April 2015.

According to The Wall Street Journal, Jain also acknowledged in a staff memo that the bank required a change at the top. This led Jain to resign on 7 June 2015, despite his contract running up to March 2017. He willstay on as a consultant to Deutsche until January 2016, while Fitschen will remain co-CEO until May 2016.

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John Cryan, a former CFO at UBS, was brought onto the Deutsche Bank supervisory board two years ago byAchleitner who suggested that Cryan was a shoe-in for the position since that time. Upon the announcement that he was set to be the German bank’s new CEO, sharesincreased by nearly four per cent.

At UBS, he brought down operating costs to 21.41bn in 2011 from 27.34bn in 2008, by cutting back on fixed-income trading. At the same time, headcount fell by 17 per cent. Achleitner has suggested that Cryan’s experience at UBS will help accelerate Deutsche’s plan to cut 4.7bn of costs in five years.

The bank’s Strategy 2020?, which has been inherited by Cryan, aims for a return on tangible equity of at least ten per cent by 2020, as well as shrinking parts of its investment bank and selling off retail unit Postbank.

“The details of the cost reductions in ‘Strategy 2020’ still need to be communicated, but we would also like Cryan to increase that target given his reputation on cost control,” added Tom Van Kempen, senior equity analyst at Candriam.

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