City minister to meet top banks to address freedom of expression concerns
The talks were arranged after the recent closure of Nigel Farage’s account with Coutts.
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Your support makes all the difference.The City minister will be meeting with Britain’s largest banks on Wednesday to address concerns related to customers’ “lawful freedom of expression” after the recent closure of Nigel Farage’s bank account with Coutts.
Andrew Griffith wrote to the chief executives of 19 banks, building societies and digital challengers on Monday, asking for a roundtable discussion at the earliest opportunity and warning that regulations around politically exposed persons are “being applied in a disproportionate manner by some financial institutions”.
Writing on Twitter, Mr Griffith confirmed the meeting will happen on Wednesday morning.
He said people should be able to “exercise lawful freedom of expression without the fear of having their bank accounts closed”, adding: “Tomorrow morning I will be meeting with bank leaders to discuss this important issue and make clear the Government’s expectations.”
His comments come after Mr Farage, the former Brexit Party leader, acquired dossiers indicating that his bank account was shut by private bank Coutts, owned by NatWest Group, because it found his public statements did “not align” with its values.
The ex-MEP turned broadcaster received an apology from NatWest chief executive Dame Alison Rose for “deeply inappropriate comments” about him in official papers.
Last week, the Treasury announced reforms designed to give customers greater protections against having accounts closed, changes that appeared to have been accelerated in response to Mr Farage’s experience.
The measures include making banks explain why they are shutting an account, which was not previously required, as well as extending the notice period for a forced account closure from 30 days to 90 days.
The Government said the extension should give customers more time to challenge a decision through the Financial Ombudsman Service or find a replacement bank.
The Government is unequivocal that banks and other payment service providers – which occupy a privileged place in society – should not be terminating contracts of payment account facilities on grounds relating to users’ exercising of their right to lawful freedom of expression.
Mr Griffith’s letter, which was seen by PA, was sent to NatWest, Barclays, Lloyds Banking Group, HSBC, Nationwide Building Society, Santander, Virgin Money and Co-operative Bank.
Other chief executives expected to receive the invite include those at TSB, Metro, Allied Irish, Danske Bank and Bank of Ireland, while the heads of digital finance outfits at Monzo, Starling, Chase, PayPal, Revolut and Wise will also be called to the Treasury.
Mr Griffith said in the letter: “The Government is unequivocal that banks and other payment service providers – which occupy a privileged place in society – should not be terminating contracts of payment account facilities on grounds relating to users’ exercising of their right to lawful freedom of expression.
“The Government strongly supports this fundamental right afforded to all people in British society and will take the action necessary to protect it.
“I am calling a roundtable at the earliest opportunity to hear your views on how you and your firms will ensure that customers can access payment accounts without fear of being de-banked for their lawful expression, and necessary actions to be taken to implement the reforms announced.”
The closure of Mr Farage’s account sparked outrage among senior Tory MPs and Prime Minister Rishi Sunak said “no-one should be barred from using basic services for their political views”.
Speaking to Sky News on Tuesday, Levelling Up Secretary Michael Gove said NatWest had “further to go” in resolving the matter.
It comes after Mr Farage won an apology from the BBC over an inaccurate story that suggested the closure of his account was not due to his political views but because he lacked the funds needed to hold an account at the high-net-worth bank.
The former MEP accepted the apology but shifted the focus back to NatWest, emphasising the need for an internal investigation into the leak, calling on NatWest Group chairman Sir Howard Davies to take action in this regard.