Coutts CEO resigns over Nigel Farage banking scandal

Peter Flavel left less than two days after Alison Rose stepped down as CEO of NatWest. Credit: Peter Nicholls/Reuters

Coutts Chief Executive Officer resigned immediately following private bank mishandling of Nigel Farage's account.

Peter Flavelle, who took over as Coutts CEO in 2016, said that Mr. Farage's treatment «fell below the bank's high standards.» personal service.»

Paul Thwaite, acting CEO of NatWest, which owns Coutts, said: «I have agreed with Peter Flavel that he will step down as CEO of Coutts and CEO of our Wealth Businesses division in mutual agreement with immediate effect.

«While I personally would be sorry to lose Peter as a colleague, I believe it was the right decision for Coutts and the entire group.»

Mr. Flavel's departure came less than two days after Dame Alison Rose stepped down as chief executive of NatWest following a falling out with the former leader of the UK Independence Party.

Full Statement by Dame Alison Rose

Dame Alison and Mr Flavel were both forced to resign due to Coutts' handling of Mr Farage's account.

A private bank closed the former Brexit campaigner's account without much notice. Subsequently, the BBC erroneously reported that he was «debanked» as he fell below Coutts' wealth threshold.

The Telegraph investigation actually found that Mr. Farage's Coutts accounts were closed because Mr. Farage's views «do not align with our values.» It claimed he was considered «xenophobic and racist».

The Telegraph then reported that Dame Alison sat next to Simon Jack, BBC business editor, at a charity dinner the day before he published article, erroneously claiming that the accounts were closed for commercial reasons.

Dame Alison admitted to being the source of the story, but tried to keep her job before being kicked out due to political pressure.

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In response to Mr. Flavel's resignation, Mr. Farage said: «It was just a matter before Peter Flavel, CEO of Coutts, resigned.

Farage

«Ultimately responsible for the dossier that stripped me banking status for my political views rests on it. I even wrote to Mr. Flavel twice before releasing the information, but received no confirmation.”

In a statement, Mr. Flavel said: “I am extremely proud to have spent seven years at Coutts and I want to thank the team that turned it into such a high-performing business.

“In handling Mr. Farage's case, we did not meet the bank's high standards of personal service.

«As CEO of Coutts, I rightly take full responsibility for this, which is why I'm resigning.»

Mr. Flavel is expected to be replaced by Mohammad Kamal Syed. , who currently leads the bank's asset management, on an interim basis until a permanent successor is found.