Ministers have revealed that they are considering adding extra conditions to banking licences following Coutts closing Nigel Farage’s account earlier this month.
Coutts, an elite bank used by the Royal Family, has said they don’t take decisions to close accounts “lightly”. However, documents Farage shared with MailOnline revealed that the bank made the decision due to “commercial” reasons and due to “reputational risk” given Farage’s political views and his alleged links to Russia.
The new licence conditions would require banks to explain why an account is being shut and give longer notice periods, but no final decisions about this have been made thus far.
The BBC reported that he was subsequently offered an account with NatWest, the bank which operates Coutts.
Here is a look at what Coutts requires from those who wish to open an account.
What is Coutts’ minimum wealth requirement?
According to their website, Coutts requires clients to have at least £1 million in investments or borrowing, including a mortgage, or at least £3 million in savings.
Mr Farage said he had not met the threshold but told the BBC that the bank “didn’t have a problem with that for the past 10 years”.
He added that his business account was closed despite “large significant positive cash balances” going into it. He also disclosed he had “more money sitting in my current account than I should”, but doubled down that the issue of the wealth cap had not been raised before.
Coutts does not comment on individual accounts but an insider told the BBC it was a “commercial” decision.
At no point in the last 10 years did Coutts give me a min threshold.
— Nigel Farage (@Nigel_Farage) July 4, 2023
More importantly, the offer of a Natwest personal acct only came after I went public last Thursday.
No business solution was offered, and they even denied I was a PEP, which is why 9 other banks have said no. https://t.co/b9egKPEWMZ pic.twitter.com/DO9yMFKzGT
Mr Farage has broadcast on GB News since leaving UKIP and also joined the right-wing Reform UK party.
He told BBC Radio 4’s World at One that Coutts had given him no reason for the account being shut but that it needed to happen within two months.
He said on Twitter: “They’re telling the press I don’t meet their wealth threshold.
“Well, they’ve never mentioned that before in the previous 10 years.
“[This could] fundamentally affect my future career and whether I can even go on living here in this country.”
The 40-page report the politician has since made public, shows that Coutts may have used its commercial independence, which allows companies to make decisions about who their clients are, and chosen to disassociate itself from the politician due to his political background.
