NatWest’s shares have plunged after the bank lowered its profit expectations and admitted to “serious failings” in its treatment of Nigel Farage.
An independent report found the bank failed to communicate its decision properly when it decided to shut Mr Farage’s Coutts account.
But the closure was lawful, and based mainly on commercial reasons, it said.
But the closure was lawful, and based mainly on commercial reasons, it said.
The bank, which is 39% owned by the taxpayer, cut its forecasts for lending margins for the year, which it said was largely due to customers moving cash from current accounts to savings accounts. Its £1.3bn profits for the three months to the end of September also fell short of forecasts.
The results were published at the same time as the independent report by law firm Travers Smith, which had been commissioned to investigate the closure of ex-UKIP leader Mr Farage’s account.
Russ Mould, investment director at AJ Bell, said investors had turned their attention from the report “to an equally damaging profit downgrade” which he said showed “any benefit from higher interest rates seems to be evaporating” for the bank.
Mr Farage, a prominent Brexiteer, said earlier this year that Coutts, the prestigious private bank for the wealthy and owned by NatWest, planned to shut down his account and that he had not been given a reason.
The BBC reported that his account was being closed because he no longer met the wealth threshold for Coutts, citing a source familiar with the matter.
NatWest’s shares have plunged after the bank lowered its profit expectations and admitted to “serious failings” in its treatment of Nigel Farage.
But the closure was lawful, and based mainly on commercial reasons, it said.
An independent report found the bank failed to communicate its decision properly when it decided to shut Mr Farage’s Coutts account.
The bank, which is 39% owned by the taxpayer, cut its forecasts for lending margins for the year, which it said was largely due to customers moving cash from current accounts to savings accounts. Its £1.3bn profits for the three months to the end of September also fell short of forecasts.
But the closure was lawful, and based mainly on commercial reasons, it said.
But the closure was lawful, and based mainly on commercial reasons, it said.
The bank, which is 39% owned by the taxpayer, cut its forecasts for lending margins for the year, which it said was largely due to customers moving cash from current accounts to savings accounts. Its £1.3bn profits for the three months to the end of September also fell short of forecasts.
The results were published at the same time as the independent report by law firm Travers Smith, which had been commissioned to investigate the closure of ex-UKIP leader Mr Farage’s account.
Russ Mould, investment director at AJ Bell, said investors had turned their attention from the report “to an equally damaging profit downgrade” which he said showed “any benefit from higher interest rates seems to be evaporating” for the bank.
Mr Farage, a prominent Brexiteer, said earlier this year that Coutts, the prestigious private bank for the wealthy and owned by NatWest, planned to shut down his account and that he had not been given a reason.
The BBC reported that his account was being closed because he no longer met the wealth threshold for Coutts, citing a source familiar with the matter.
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