Barclays on Thursday said chief executive Bob Diamond will tie half of his long-term bonus awards to the UK bank's future profitability, as the lender looks to quell rising shareholder anger over pay ahead of its annual general meeting.

Diamond and group finance director Chris Lucas will forgo 50% of their deferred bonuses, which are paid out over three years, until Barclays' return-on-equity exceeds its cost-of-equity, the bank said. If the condition isn't met within the three-year time frame, the potential payout - which amounts to £1.35m for Diamond and £900,000 for Lucas - will be scrapped, the bank added.