After resignation of both the Chairman and CEO of Barcalys, the PM has ordered a parliamentary inquiry in to the allegations of Libor rate rigging by Barcalys and other British banks. Labor wanted an inquiry by a Judge.
Mr. Bob Diamond, the ex-CEO of Barcalys to appear in front of a Parliamentary committee at 2 p.m.
Leaders clash over Barclays rate-rigging inquiry
David Cameron and Ed Miliband have clashed in the Commons over the terms of an inquiry into the interest rate-rigging scandal surrounding Barclays.
The prime minister said a single parliamentary inquiry into the "appalling" events would be the most "swift and decisive" course of action.
But Labour's leader said this was "too narrow" and a much wider judicial probe into the culture of banking was needed.
Former Barclays boss Bob Diamond will later be questioned by MPs.
At Prime Minister's Questions, Mr Cameron said the manipulation of the key Libor inter-bank borrowing rate by Barclays traders was "outrageous" and those responsible should be punished.
"We have to get to the bottom of what happened and quickly," he told MPs. "We must get to the truth."
The Commons will vote on Thursday about whether to back the government's call for an immediate inquiry by a committee of MPs and peers or Labour's alternative proposal for a judge-led probe - similar to the current Leveson investigation in press standards.
Mr Miliband has proposed a two-stage public inquiry which would focus on the specific allegations facing Barclays to report by the end of 2012 followed by a broader year-long probe into banking standards and practices.
Mr Cameron said he would respect the will of MPs about which course of action they chose and he urged Mr Miliband to do the same.
Downing Street has confirmed Mr Cameron held talks with Mr Miliband on Tuesday about the nature of any inquiry and No 10 still hoped it would be possible to gain cross-party support for the way forward.
But, in heated exchanges in the Commons, Mr Miliband said the prime minister did not understand the "depth of public concerns" about the matter and was failing to act in the national interest.
"Whenever these scandals happen, he has failed to act and he stands up for the wrong sort of people."
But Mr Cameron said the wrongdoing had taken place while Labour was in office.
"People would take a very dim view of an opposition that stands in the way of an inquiry because they do not want their dirty washing done in public," he said.