UK authorities are probing allegations that Barclays lent Qatar money to invest in the bank as part of its cash call at the height of the financial crisis in 2008, which enabled the bank to avoid a UK bailout.

While the terms of Barclays’ emergency fundraising have been under the scrutiny of the Financial Services Authority and the Serious Fraud Office since the summer – with a particular focus on fees paid for the deal – allegations over a loan to the Qataris is a new thread of the investigation. Two people familiar with the situation have independently told the Financial Times of the investigation into the alleged loan.

If confirmed, such a loan arrangement could contravene market regulations if it was not properly disclosed at the time, legal and industry experts said. “The concept of lending money to any investor to purchase your own shares raises a series of immediate questions about disclosure,” said Peter Hahn, from Cass Business School.