27 July 2023 , 13:18
1204
0
The boss at posh private bank Coutts has stepped down following the Nigel Farage row, NatWest has announced.
Coutts has come in for heavy criticism over its treatment of the former UKIP leader, with an internal memo showing bank officials had voiced concerns over his political views.
The bank's chief executive Peter Flavel has announced his resignation - becoming the second major banking boss to go after Mr Farage voiced his anger. It comes after Dame Alison Rose, the chief at NatWest - which owns Coutts - dramatically quit in the early hours of Wednesday.
Mr Farage very publicly lashed out at Coutts after documents showed officials were worried he is seen as "xenophobic and pandering to racists" and a "disingenuous grifter". As news of Mr Flavel's departure broke, the Brexit rabble-rouser said it was "only a matter of time" before Mr Flavel was forced to fall on his sword.
Peter Flavel has stepped down as boss of private bank Coutts (Alamy Stock Photo)New NatWest chief Paul Thwaite said: "I have agreed with Peter Flavel that he will step down as Coutts CEO and CEO of our wealth businesses by mutual consent with immediate effect.
Teachers, civil servants and train drivers walk out in biggest strike in decade
"Whilst I will be personally sorry to lose Peter as a colleague, I believe this is the right decision for Coutts and the wider group. I have asked Mohammad Kamal Syed to step into the role of interim CEO of Coutts and our wealth businesses."
Mr Farage tweeted: "It was only a matter of time before Peter Flavel, Coutts CEO, stood down The ultimate responsibility for the dossier de-banking me for my political views lies with him.
"I even wrote to Mr Flavel twice before going public and didn't receive an acknowledgment."
Nigel Farage has been heavily critical of Coutts, which is owned by NatWest (itvpeston/Twitter)As the row escalated, both No10 and Chancellor Jeremy Hunt voiced "serious concerns" about Dame Alison's conduct - sparking questions over why they intervened in this case, and not others.
Darren Jones, who chairs the Commons Business Select Committee, wrote: "If Ministers really wanted to crack down on CEO behaviour, they would have done so in many cases by now.
"So why intervene in the Coutts-Farage case? It’s about power. The power Farage seems to have over the Tories. And the lack of it that everyday workers and customers have."
Referencing a recent committee hearing on Post Office bosses who were wrongly paid bonuses, Mr Jones continued: "I don’t question that Alison Rose did something wrong. I question why the PM got involved.
"Because we own 39% of NatWest? We own 100% of the Post Office. Has the PM told the CEO to pay back bonuses based on false accounts?
"Or asked him to resign? No. Spot the difference?"
A No 10 source said Dame Alison "has done the right thing in resigning", saying the Prime Minister "was concerned about the unfolding situation".
Richard 'shuts up' GMB guest who says Hancock 'deserved' being called 'd***head'
"Everyone would expect people in public life - whether that's in a business leadership role or otherwise - to act responsibly and with integrity," they added.
Tory ministers including Energy Secretary Grant Shapps also welcomed Dame Alison's resignation.
City minister Andrew Griffith said: "This would never have happened if NatWest had not taken it upon itself to withdraw a bank account due to someone's lawful political views. That was and is always unacceptable."
Following her NatWest resignation, Dame Alison has also stepped down as co-chair of the Energy Efficiency Taskforce and as a Member of the Net Zero Council at the request of cabinet member Grant Shapps.
And a No10 spokesperson said: “Following her resignation as CEO of NatWest Group, the Government has confirmed that Dame Alison Rose is no longer a member of the Prime Minister’s Business Council.”
* Follow Mirror Politics on Snapchat, Tiktok, Twitter and Facebook.