The UK financial regulator is expected to say it has found no evidence that UK politicians have been denied bank accounts or other financial services, after launching a review following the Nigel Farage debanking row.
The Financial Conduct Authority (FCA) is due to release the results of its review at the end of the week, after contacting banks and politically exposed persons (PEPs) – which include MPs, peers, leaders of UK political parties and senior military ranks. officials – last month.
The review is expected to say that there is no evidence to show that PEPs are denied services especially on the basis of their status, which requires banks to more closely monitor their accounts and transactions, because they considered to be at a higher risk of bribery. or corruption.
The preliminary findings were first reported in the Financial Times. The FCA declined to comment.
The government ordered the FCA to launch the review earlier this year, arguing that domestic PEPs should face less scrutiny than their foreign counterparts.
However, the subject gained more attention in July after Farage launched a campaign against Coutts, the private lender for the super-rich, which planned to close his accounts.
The former Ukip leader originally claimed the decision to close his accounts was linked to his status as a PEP. While it was later revealed to be linked to commercial considerations as well as alleged reputational risks related to his political views, the saga has fueled debate about the exercise of discretion in relation to PEPs.
The scandal eventually erupted into a free speech row, and snowballed after it emerged that Alison Rose, the chief executive of Coutts’ employer, NatWest, had spoken about Farage’s accounts in a BBC journalist.
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Rose eventually resigned amid government pressure at the end of July, and Coutts’ chief executive, Peter Flavel, was asked to leave days later for mishandling the situation.
NatWest has hired lawyers for a wide-ranging investigation, due at the end of October.
