Nigel Farage’s bank account with Coutts was closed earlier this year. Here is the bank’s dossier, obtained by Farage using a subject access request, that reveals why:
Item 1: Personal data extracted from minutes from Wealth Reputational Risk Committee on 17th November 2022
Content
• Seeking approval to continue the relationship with Nigel Farage (NF) subject to annual reviews.
• Referred to NF’s controversial profile in public life and politics, reflected in the adverse press outlined in the paper presented.
• Despite the adverse press, from a legal perspective NF has not been formally charged of any wrongdoing, and is not subject to any regulatory censure.
• NF is already a Coutts customer which he had made public knowledge.
• Recommendation is to retain NF for now. However, it was noted that NF currently has a mortgage with Coutts, which is due to expire in July 2023 and which, on a commercial basis, we would not look to renew and so would suggest winding down the connection on that basis.
• The paper was right to mention the Russian allegations and potential Russian connections NF had, but there was nothing substantive in that regard.
• There were reputational risks to consider of banking NF given he was such a high profile figure and had been the subject of significant adverse press.
• We needed to be in a position to convene and react quickly if NF made public comments that created an increased reputational risk of Coutts continuing to bank him.
• Six months before the expiry of NF’s mortgage with Coutts, they would indicate to NF that we are not renewing the mortgage, but were such a ‘flash point’ to arise before then in relation to NF which we are uncomfortable with, [third-party personal data removed] would escalate quickly to this Committee.
This was not a political decision but one centred around inclusivity and Purpose
• Exiting NF next year on commercial grounds when the mortgage rolls off
• [Third-party data removed] commented that there is an extra cost attached to managing the accounts of high profile individuals such as NF
• The Committee did not think continuing to bank NF was compatible with Coutts, given his publicly stated views that were at odds with our position as an inclusive organisation.
• This was not a political decision but one centred around inclusivity and Purpose.
• With the support of the Committee, [the Chair] concluded as follows:
• After the expiry of the mortgage with Coutts, NF would not be a criteria client, and we should set a glide path to exiting NF when that mortgage expires.
• However, whist the mortgage is in place we should continue to monitor NF, and if there is a ‘flash point’ involving NF which would increase the reputational risk to the bank, it should be escalated to this Committee promptly.
• Therefore, the decision was to EXIT Nigel Farage (including business accounts), that exit to be on a glide path to coincide with the expiry of the mortgage, but an earlier exit to be considered if an event occurs that amplifies the reputational risks associated with banking NF. [third-party personal data removed] team would undertake monthly Adverse Press Checks on NF.
• It was also agreed that [third-party personal data removed) and Group Reputational Risk Committee should be made aware of the decision to exit Nigel Farage to ensure they did not have any concerns with this.
Item 2: Personal data extracted from papers presented to Wealth Reputational Risk Committee 17 November 2022
Continue relationship
- Throughout 2022 we have seen negative/adverse press reports on NF, but alleged Russian Ties/Connections allegations increased past the invasion of Ukraine.
- NF was reviewed by RRF in 2018 with the paper focusing solely on NF’s alleged “Russian Ties”. At that time, the allegations were unproven, and agreement was given to retain the connection and monitor relevant press activity closely in order to reassess the situation in light of any further information.
- We have reviewed the connection again on a more “holistic” basis not just around the Russian connections and we are seeking approval to continue the relationship.
- Client has recently been declassified from Higher Risk PEP to Lower Risk PEP — he will be declassed completely at next review if he remains out of politics for the next 12 months.
- Following the declassification, the client’s EC is now sufficient to retain on commercial basis.
- No other group connections in evidence.
Background to client
- Nigel Farage is a well known and at times a controversial figure in public life.
- NF (born 3 April 1964) is a British broadcaster and former politician who was Leader of the UK Independence Party (UKIP) from 2006 to 2009 and 2010 to 2016 and Leader of the Brexit Party (renamed Reform UK in 2021) from 2019 to 2021.
- He was Member of the European Parliament (MEP) for Southeast England from 1999 until the United Kingdom’s exit from the EU in 2020.
- He was the host of The Nigel Farage Show, a radio phone-in on the global-owned talk radio station LBC, from 2017 to 2020.
- NF is currently the Honorary President of Reform UK (a right-wing populist political party) and a presenter for GB News on the “Farage at Large” show.
Key Risks
- Reputational Risk
- NF is “high profile” and actively courts Controversy, this leads to more profile and maintains his presence in the spotlight.
- He has operated like this throughout his political and media careers.
- Financial crime risk
- Principally this arises because of the alleged “Russian connection”
- Reputational Risk if we exit
- It is very likely that the client would “go public” if we exited him
We have considered whether there are further risks for example tax motivated transactions, higher risk trading activities and ESE. These do not appear relevant here and have been discounted.
- Team uncovered adverse press. This included various reports that claimed NF incited race hate when he compared the Black Lives Matter (BLM) movement to the Taliban and Islamic extremists in relation to the toppling of the Colston statue in Bristol. This was presented to PB Triage in January 2022, and it was agreed that the client should be referred to RRC
- The client was again referred to PB Triage in April 2022 due to adverse press in relation to allegations from Labour MP [third-party personal data removed] that he received £548,573 from Russia Today in 2018. It was again decided that this case should be referred to RRC noting the reemergence of the allegation of “Russian ties”.
There is a lot of adverse press relating to NF
This list is not exhaustive, for example it does not capture most of NF’s Twitter feed – which is extensive.
Racism / Xenophobia / BLM / Antisemitism
20 October 2022 – The Guardian – Jewish groups criticise Nigel Farage for calling ‘Grant Shapps ‘globalist’
“Jewish groups and campaigners have condemned commentators and media including Nigel Farage and GB News for calling Grant Shapps a “globalist”, a term which has associations with antisemitism and the far right.
… After Shapps, who is Jewish, was appointed in place of Suella Braverman, a series of rightwing commentators and politicians used Twitter to paint his elevation as part of a plot in which anti-Brexit “globalists” war taking over Liz Truss’s government
Tweeting about Braverman’s exit, Farage called it a “a coup”, and labelled Shapps “Remainer and Globalist”
Farage told the Guardian: “Since last Friday I have described events in government as a globalist coup. Jeremy Hunt is pro-EU, pro-CCP [Chinese Communist party], pro-WEF [World Economic Forum] and is a globalist politician. Grant Shapps is cut from the same cloth and is also on open border, pro-EU globalist.
The OED of a globalist is advocating the operation of planning of economic and foreign policy on a global basis”. I had no idea that Mr Shapps had Jewish roots. In this confected outrage, I can only think that people are worried that I might make a political return.”
Farage has been criticised several times before for using this and similar tropes associated with antisemitism, such as references to supposed plots by Goldman Sachs and the financier George Soros.
The former Ukip leader repeatedly aired such views in interviews with Alex Jones, the far-right US radio host and conspiracy theorist, who had recently been ordered to pay vast damages for claiming the Sandy Hook US school shooting was faked.”
22 September 2022 – Eastern Eye commented on a recent Tweet by Nigel Farage in an article titled Lawmakers who ‘promoted multiculturalism and diversity’ are responsible for Leicester violence
“Farage said that Leicester violence was the result of the immigration crisis”.
Virtually every single MP in Westminster & responsible for the ethic and religious violence seen in Leicester, Farage wrote on Twitter on Wednesday (21).
“They decided to go down the road of diversity and multiculturalism. Our politicians have done this to our great country” he tweeted.
11 June 2020 Business Insider – Nigel Farage leaves LBC radio show ‘with immediate effect’ after comparing Block Lives Matter protesters to the Taliban
“Nigel Farage has left his LBC radio show with “immediate effect,” the station confirmed on Thursday, amid anger among his former colleagues over comments he’d made this week about Black Lives Matter protesters.
The Brexit Party leader and ally of President Donald Trump had his microphone muted during an appearance on ITV’s “Good Morning Britain’ this week after he compared Black Lives Matter protesters who downed a statue of British slave trader Edward Colston to the Taliban.
…sources at the station told Business Insider that Farage’s time there had been brought to an end because of widespread anger among Black, Asian, and minority ethic (BAME) staff about Farage’s comments. One source said there had been “so much anger” among staff about the station publicly endorsing the Black Lives Matter movement “while promoting a man that likened it to the Taliban.”
It should be noted that other articles suggest that the LBC work was terminated because of “cease and desist letter” sent to NF from the USA rock band “Rage Against The Machine” as he had used their name for a play on words [his programme being called Farage Against the Machine] – apparently he would not change the name and LBC cancelled the show – although he was at the end of his contract.
Earlier articles from 9 June 2020 on the Mail Online and in the Metro highlighted the following key comments from NF in relation to BLM and the toppling of the Colston statue:
When told by Dr Mos-Shogbamimu that “…BLM represents a fight against racism in this country” and that NF was “…inciting evil racism” NF refused to back down, adding: The Taliban love to blow up and destroy historical monuments from a different time that they do not approve of.”
…Mr Farage had previously tweeted: “A new form of the Taliban was born in the UK today.
Unless we get moral leadership quickly our cities won’t be worth living in.” – Mail Online
“…When Piers Morgan told him that slave trader Colston was ‘responsible for the deaths of 20,000 people’ Farage described him as a ‘big philanthropist…” – Metro
4 July 2016 The Independent – Nigel Farage resigns: The outgoing Ukip leader’s most controversial moments
Mr Farage has been accused of racism, sexism, and xenophobia… This article in Appendix 1 goes on to list examples of perceived racial slurs and claims NF used “Nazi-style propaganda’ in a Leave.EU campaign poster.
Russia / Pro Putin / RT Links
25 February 2022 – the Indy – All of the times that Nigel Farage has prised Putin have resurfaced
“A damning video of all the times Nigel Farage has praised Vladimir Putin is going viral on Twitter.
Farage has been a vocal supporter of the Russian leader who has waged war on Ukraine and is launching an attack from land, sea and air. Right-wing former politician Farage has previously said Putin was the world leader he most admired as an operator.
Now, all the times Farage has praised the warmongering leader have been stitched together in a video that was shared on social media by Adam Bienkov, the political editor and correspondent for the BylineTimes.
Bienkov wrote: “Nigel Farage has spent years praising Putin and blaming Europeans for attempting to defend themselves against him. No surprise he’s still at it today.”
In one clip, Farage said “If you poke the Russian bear with a stick, don’t be surprised when he reacts.”
Another clip showed Farage being challenged by David Dimbleby about when he said Putin was the leader, he most admired.
Farage also blamed the EU and the expansion of NATO for allegedly starting some of the violence, calling the expansion “provocative” end claiming it was “encircling” Russia.”
24 Feb 2022 – London Economic Article quoting Farage’s Twitter account (not condemning Putin/blaming EU/NATO for the invasion of Ukraine)
Well I was wrong. Putin has gone much further than I thought he would.
A consequence of EU and NATO expansion, which came to a head in 2014. It made no sense to poke the Russian bear with a stick.
These are dark days for Europe.
-Nigel Farage (@Nigel_Farage) February 24, 2022
Wading into the issue last week, former UKIP leader Nigel Farage called for Putin’s demands to be met — rather than allow NATO to expand even further east.
He said: “I thought for 30 years that the NATO policy, the EU policy of expanding ever eastwards was a huge strategic error.
Allegations from Labour MP [third-party personal data removed] that Nigel Farage received £548,573 from Russia Today (RT) in 2018 clone.
‘According to The Spectator — “… The basis for this claim seems to be Farage’s declaration of outside earnings when he was an MEP in the European Parliament figure. Company accounts for his media vehicle, Thorn In the Side Ltd, show that its assets exceeded £548,000 for the year to May 2016, compared with about £157,000 the previous year. But this figure was his total sum for all media appearances, at a time when Farage ad never been more in demand.
…Any fees from Russia Today would have been a small part of the overall total sum, with Farage appearing infrequently on the broadcaster in the months after the Brexit vote in June 2016.
‘A quick search… suggests that Farage’s lost appearance on RT was 3 March 2017 Farage himself says that in 2016 and 2017 ‘I had two small appearance fees back then, well under £5,000. Not appeared since.”
There is no further evidence to back up the claims made by [third party personal data removed]
Climate denying / Anti Net Zero
13 March 2022 The Guardian – NF campaigning for a referendum on the government’s Net Zero policy to decarbonise the economy by 200
Nigel Farage’s hard-right faction won Brexit. Now net zero is in its sights
First it was Brexit, followed by a spurt of very successful campaigning to ensure that Britain left Europe on the most stringent and self-harming terms. For a while, Nigel Farage then opposed Covid restrictions. Now, he is reviving his old hostility to action on the climate emergency, with a new vehicle called Britain Means Business, which has spawned a campaign called Vote Power Not Poverty. Both were recently launched by an article in the Mail on Sunday. “Net zero is net stupid,” wrote Farage, who drew a line from the government’s green targets to the rising cost of living and made the case not just for a referendum on the issue, but also the return of fracking and coal-mining.
Other
There is also other adverse press relating to NF which docs not fall into the first 3 categories outlined. A few examples of this include
– NF advocating for the Government to leave the European Convention on Human Rights (ECHR) (an international convention to protect human rights and political freedoms in Europe)
– Endorsements of Donald Trump including defending Trump’s “grab them by the pussy” remarks as “locker room banter” and stating that Trump was “not running to be Pope. Adverse press shows that NF continues to support Trump despite the many new legal issues he faces.
In 2010, when asked about women’s football, NF gave the following answer: ‘Here’s the bigger question. Do we think, chaps, when we’re there in the front line, when the balloon goes up, with fixed bayonets, when the whistle’s about to blow to go over the top, do we actually want to be there with women beside us? Do we? What an extraordinarily bizarre idea! I certainly don’t think so. But maybe it’s because I’ve got so many women pregnant over the years that I have a different view. I find it very difficult to think that we could stand up and run over the top together, into the machine guns or whatever. Men and women are different – thank God!”
– Appearances on InfoWars (the American conspiracy show run by far-right pundit Alex Jones) and continued support for Alex Jones despite the record award of $1 billion in ‘damages to the families of the Sandy Hook victims for lying about the 2012 mass shooting
Risk Mitigation
– There is no evidence of regulator or legal censure of the client.
Russia / Pro Putin / RT links
Risk Mitigation
1. We cannot find any evidence of a direct Russian regime connection aside from the payments received in relation to media work for the Russian TV channel RT (which is ultimately Russian state owned). We note however that NF has not appeared on RT since 2017.
While NF appears to have no direct links with the following points warrant consideration:
– He has regularly been seen to be pro Russia / pro Putin. Even following the Russian invasion, he did not criticise Putin but instead blamed the invasion of the EU and NATO.
– He questioned the sanctioning of Russian individuals.
We cannot find any evidence of a direct Russian regime connection aside from the payments received in relation to media work for the Russian TV channel RT
– He appeared regularly on RT (up until around 2016/2017 although was offered his own show on RT in 2016).
– He is very closely linked to [third-party personal data removed]. [third-party personal data removed] supported Farage financially and also funded the Leave.EU Brexit campaign.
– Farage has been labelled a “useful idiot” for Russian influence in the UK.
2. It doesn’t appear that the claim made [third-party personal data removed] about the income NF received from RT was correct. He apparently only received “two small appearance fees” from RT and this was in 2016/2017.
Climate denying / Anti Net Zero
Risk Mitigation
– He is professional in his dealing with us – we have no reported issues
– He has not received any legal or other censure that we can establish
– Although he does not align with our views, is likely to be the same for a number of the bank’s customers. We do note that NF is a public figure and therefore the comments he makes are likely to be reported more widely than other clients
Other
Risk Mitigation
These remarks are distasteful & appear increasingly out of touch with wider society.
The mitigants are limited:
- There is no evidence of regulator or legal censure of the client.
- He has not made any reference to the bank in any of his press comments – even though he has made it public that he banks with us.
- NF has referenced support for DT’s comments, and he is not alone in that respect in the media and in many cases the general public. Given the public nature of the relationship he has with us, there is a risk that if we use this commentary [or the other commentary] to take it may well be positioned [by NF] to appear to be taking political sides on this debate as the comments are not related to the Bank.
Reputation Risk
Given NF’s high profile and the substantial amount of adverse press connected to him, there are significant reputational risks to the bank in being associated with him. While it is accepted that no criminal convictions have resulted, commentary and behaviours that do not align to the bank’s purpose and values have been demonstrated.
Individuals that convey pro-Russian sentiment or excuse Putin’s behaviour – which NF “appears” to have done on various occasions.
We note that NF ceased his involvement with RT in 2017 and appears to have no direct links to the Russian government. Conversely however, NF is very publicly linked to [third party personal data removed]
This is not the case in this instance as there are various press articles highlighting NF as being a client of Coutts (for example an article on the Times website dated 9 June 2019 titled ‘Everyman’ Nigel Farage banks with Coutts).
It is also noted that given NF’s public profile and penchant for courting controversy, it is highly likely that there will be further adverse press in the future. Accordingly, we are proposing NF be subject to annual reviews.
Financial crime risk
Principally this arises because of the alleged “Russian connection”, and we have identified no direct or specific issues arising from the data collected so we have discounted tis risk.
Our recommendation is not to exit but if we did decide to do this then we would need to accept that there is a significant reputational risk to the bank in doing so. It is likely that NF would perceive a decision to exit him as ‘unfair’ and he would almost certainly use his public platform to communicate this dissatisfaction.
While it is accepted that no criminal convictions have resulted, commentary and behaviours that do not align to the bank’s purpose and values have been demonstrated
It is acknowledged that many of the behaviours demonstrated by NF do not align with our values and that there are reputational risks to the bank in being associated with him.
Recommendation and rationale:
Here is that while NF’s views do not align to our values, his engagement with us is in line with what we expect – professional polite and respectful.
The EC though is low.
Accordingly, we are recommending that the approval be given to continue the relationship.
Subject to an annual review.
Alignment to purpose
‘The bank purpose:
There are several factors and behaviours demonstrated by NF which arguably do not align with values that serve the common good and that treat people with dignity and respect.
When viewed from our perspective however, we are considering him as an individual and to some extent that does include expecting not all his views with be the same as ours.
However, when considering our stance specifically on ESG/Diversity and inclusion
ESG – supporting diversity and inclusion; Black, Asian and minority ethnic (BAME) equality, LGBTQ rights and social mobility.
The comments / articles are not in line with our views or our purpose.
Climate Change / B CORPs/ Carbon Net Zero
The comments uncovered ore not in fine with banks views on the above.
However, it is fair to say this is a finely balanced case and which has looked to assess how he treats the staff, the business and spending significant amount of time examining the more recent press coverage
Whilst there is significant adverse press relating to ‘NF’ in the public domain particularly in relation to their association with ‘Russia’ there has been no evidence of direct links. However he does have strongly and in many cases controversial, publicly held views on many aspects of policy particularly climate & race, and although no legal or other censure has occurred it is clear they do not align with our purpose. These views do however present a reputational risk to the bank in being associated with NF.
Cannot see any strong rationale to exit
Clearly NF is a someone who likes to be in the public eye and sees himself as an “alternative, plain speaking” view – which he would argue is not available elsewhere. This creates a lot of media attention which arguably at least in part is its purpose.
There has not been a legal or regulatory censure
- There is no evidence that he has direct connections with the Russian political infrastructure, either through our accounts or via further investigation in the press / internet. He has not been sanctioned by the authorities in this regard.
- The original remarks on his LBC radio show have not been taken further by the authorities/regulators although he did leave the show soon after, he has not been prevented from further media work and is now employed at GB news. Part of his “media appeal” is of course the direct/controversial approach and this at times will come with remarks that many people would find unsupportable/unacceptable.
However, he has not made any inappropriate remarks to our staff and treats them professionally and with courtesy.
Although he is now declassed from higher risk PEP status and so with his current risk status, he meets the EC criteria for commercial retention.
The media consequences are unknown should he choose to go “public” – and given he already has disclosed the association with us
the repayment of the debt however will mean the EC is likely to fall significantly in 24 months’ time
Reputational incl. Environmental Social & Ethical (ESE)
the recommendation to continue the banking relationship with NF
No Financial Crime Risk
We have selected ‘No Financial Crime’ here as consideration was given to potential financial crime risks that may have arisen as a consequence of the alleged Russian links, but no current direct links or other financial crime concerns were identified
Financial Crime Customer RiskAssessment (CRA) rating*
High
Has Client Due Diligence (CDD) been completed?
Yes – Last Lower risk PEP review undertaken 2022 and signed off 21/6/2022
Is customer or beneficial owner / significant controller a Politically Exposed Person (PEF), Public Official, Politically Exposed Person Relative/Close Associate, Special Interest Client Group?
Yes Currently a Lower Risk PEP however AML team will be looking to declassify him as a PEP on the next review as he is no longer associated with any political party and the parties he has been associated with do not hold any representation any longer.
Transactional analysis outcome where applicable
We have reviewed the account activity for both NF and Thorn in the side limited and can se nothing that appears to be a payment in relation to Russia, work in Russia or anything pro Putin.
The values NF actively and publicly promotes/champions do not align with the bank’s. Particularly given the manner in which he states (and monetises) those views – deliberately using extreme, hateful and emotive language (often with a dose of information) – at best he is seen as xenophobic and pandering to racists, and at worst, he is seen as xenophobic and racist. He is considered by many to be a disingenuous grifter and is regularly (almost constantly) the subject of adverse media.
Conversely, its acknowledged that NF’s commentary remains within the law regarding hate speech and arguably on the right side of ‘glorifying or promoting harmful behaviour’ (although we should be mindful of the role the ‘illegal immigrant / invasion’ rhetoric plays in contributing to discrimination and in some instances, violence, against migrants).
Being associated with NF presents a material and ongoing reputational risk to the bank. The banking relationship is public knowledge. The view that NF has not broken any law, has the right to free speech, is polite to staff
NF’s very public profile and propensity for self-promotion. A decision to exit may result in NF using his platform on GB News/social media to air his grievances (unless he was too proud or embarrassed to publicise it). Given the extent to which NF polarises public opinion. As NF moves on his next grievance/bigger issues.
In the interests of treating NF fairly and minimising reputational risk, if decision to exit is agreed, I recommend giving advanced notice that we do not have appetite to renew his mortgage or provide banking facilities after the fixed period expires in July 2023.
that annual reviews are no sufficient for the amount of of adverse press being generated by NF.
1. From an international affairs perspective, NF’s reputational harm to the bank could stem from two areas. First, any relationship with Putin’s regime, or endorsement of the illegal invasion of Ukraine. The paper suggests that we haven’t found evidence of the former (beyond ‘useful idiot’ admiration) and his comments about the invasion fall short of endorsement. A second area would be his broad attitude to foreign countries and their peoples. Here, it’s clear to me that NF has – and projects – xenophobic, chauvinistic and racist reviews, even though this is done within the law, or framed with sufficient ambiguity to claim malicious misquoting by his critics.
2. Unless/until NF makes a statement that glorifies or promotes harmful behaviour, we need to consider his default, ambient reputation – which I agree is captured for many as disingenuous grifter. I agree we should consider exit to coincide with the end of the mortgage term and on a long glide-path that reduces the risk of counter-criticism.
Comments