NatWest’s CEO, Dame Alison Rose, has acknowledged a “serious error of judgement” in discussing Nigel Farage’s Coutts bank accounts with the BBC business editor. Last week, Dame Alison apologized to Farage for the closure of his accounts and initiated a review of Coutts’s processes.
The NatWest board has expressed full confidence in Dame Alison as the bank’s chief executive, but the incident will be considered when determining her remuneration. The bank’s chairman, Howard Davies, stated that the unsatisfactory handling of Farage’s account closure had serious consequences for the institution.
The BBC initially reported inaccurately on the reasons behind Farage’s account closure, attributing it to not meeting Coutts’s financial thresholds. However, documents obtained by Farage revealed that his political beliefs played a part in the decision. The BBC has apologized for its report.
Dame Alison clarified that she did not disclose any personal financial information about Farage, but she acknowledged her mistake in leaving the impression that the account closures were solely a commercial decision. At the time of her conversation with the BBC, she had not seen the material behind Coutts’s decision.
Despite the incident, the bank’s chairman praised Dame Alison’s leadership over the last four years. The NatWest review into the account closures will be made public, and the terms of reference will be announced soon. The Financial Conduct Authority has raised concerns about the breach of customer confidentiality and expects an independent review to investigate the matter thoroughly.
NatWest, being 38.6% taxpayer-owned, has faced significant scrutiny following the global financial crash.
