NatWest, a British bank, has revealed plans to cancel £7.6 million in pay and awards for its former CEO, Alison Rose. The decision comes after a review conducted by law firm Travers Smith into the bank’s treatment of former Brexit party leader Nigel Farage.
The initial findings of the review, published by NatWest on October 27 alongside quarterly results, highlighted “serious failings” in the bank’s handling of Farage’s accounts, leading to a political backlash. As a result, Rose, who had a successful career spanning over three decades at the bank, ultimately lost her job.
The bank has stated that Rose will not receive any bonus or variable remuneration in 2023, as she did not meet the criteria for “good leaver” status under the terms of the share award plan. It is important to note that no findings of misconduct were made against her by the bank.
In response to NatWest’s announcement, Rose expressed her satisfaction with the fact that no misconduct had been found. She also confirmed her acceptance of the terms of the settlement agreement, which aligns with NatWest Group’s Remuneration Policy, effectively closing the matter.
The cancellation of pay and awards for Rose is seen as a direct consequence of the bank’s mishandling of Farage’s accounts. The review by Travers Smith shed light on serious failings within the bank’s processes and decision-making.
Farage, who served as the leader of the Brexit party, had his accounts closed by NatWest, a move that generated significant controversy and ultimately led to the review. The decision to “debank” Farage caused a political storm and led to accusations of bias against the bank.
NatWest’s decision to cancel Rose’s pay and awards highlights the seriousness of the situation and the need for accountability. By taking this action, the bank is sending a clear message that it will not tolerate any misconduct or mishandling of accounts, regardless of an individual’s position within the organization.
The cancellation of Rose’s pay and awards is undoubtedly a significant blow for the former CEO. It not only results in a financial loss but also tarnishes her reputation after a long and successful career in the banking industry. However, the bank’s commitment to transparency and accountability is commendable, as it shows a willingness to address its mistakes and ensure they do not happen again.
As NatWest moves forward from this incident, it is crucial for the bank to learn from its failings and implement necessary changes to prevent similar situations in the future. Restoring public trust and confidence should be a top priority for the bank, as customers and stakeholders will be closely watching its actions in the aftermath of this controversy.
In conclusion, NatWest’s decision to cancel £7.6 million in pay and awards for former CEO Alison Rose is a significant development in the aftermath of the bank’s mishandling of Nigel Farage’s accounts. The move demonstrates the bank’s commitment to accountability and its determination to rectify its mistakes. As the bank navigates this challenging period, it will be essential for it to rebuild trust and ensure that robust processes are in place to prevent similar incidents from occurring in the future.
More detail via Reuters here… ( Image via Reuters )