NIGEL Farage’s former bank closed his account because he fell below the financial threshold required to maintain it, according to people familiar with the matter.
BBC journalist Simon Jack reported that Coutts – the prestigious bank of which Farage was formerly a customer – did not close the GB News presenter’s account because of political prejudice but “for commercial reasons” relating to the amount of money Farage was borrowing or saving.
Coutts requires customers to invest or borrow £1 million with the bank or hold £3 million in savings to be eligible for a current account.
An insider also told the BBC Farage was offered an account with Natwest - which also owns Coutts – but that the offer has yet to be accepted.
Nigel Farage fell below the financial threshold required to hold an account at Coutts, the prestigious private bank for wealthy customers the BBC has been told. It also understood that he was offered a normal account at Natwest which owns Coutts. People familiar....
— Simon Jack (@BBCSimonJack) July 4, 2023
This comes despite Farage insisting that the decision to close his account – and his apparent inability to open a new one with a different UK bank – is down to political prejudice and rules concerning Politically Exposed Persons (PEPs).
PEPs are defined as individuals who undertake a “prominent public function” and are therefore considered high-risk by financial institutions.
As such, PEPs are subject to additional anti-money laundering measures which, in theory, could result in their accounts being closed.
It comes after security minister Tom Tugendhat said it was “completely unacceptable” for banks to close the accounts of controversial political figures because of their views.
“PEP is there to prevent the corrupt use of banking facilities by politicians in corrupt regimes,” said Tugendhat. “It is not here to silence individuals who may hold views with which we may or may not agree.
“Such a closure on political grounds, if that is indeed what has happened – after all, we have only the allegation of it at this point – should, therefore, be completely unacceptable.”
