Nigel Farage has praised a “swift” intervention by government ministers after reports that new laws could be drawn up to stop banks closing customers’ accounts because they disagree with their political views. The former Ukip leader said MPs were “beginning to realise that this system is coming for them as well” after his bank accounts were closed by Coutts, he says because his views “did not align with” its values. Ministers are considering legislation to protect free speech by threatening banks with losing their licences if they blacklist people with controversial views, according to the Times. Farage said it was “one of the swiftest interventions I’ve seen by government for many, many years”, and suggested it was a problem that had been “building up for years and years and years”.
“Every MP will know of constituents, small businessmen and women, who’ve literally been shut down by their banks with no reason given whatsoever,” he told PA Media. “I also think that because of the politically exposed persons (PEP) rule, I think they’re beginning to realise that this system is coming for them as well.” Those designated a PEP are typically political representatives and their family members, whose accounts can be treated with extra due diligence by financial institutions. Farage claimed there was “a real sense of anger” among the public, who bailed out banks during the 2008 financial crisis, that now such banks could “treat us with contempt”. The closure of Farage’s accounts sparked outrage among senior Tory MPs, who have put pressure on Coutts and its owner, NatWest. The prime minister, Rishi Sunak, intervened in the row on Wednesday to say it was “wrong” and that “no one should be barred from using basic services for their political views”. The Treasury will announce plans as soon as next week to protect against further sudden closures of politically associated people’s accounts, according to the Times. Options being considered include extending the notice time given to customers to close their accounts from one month to three months, and forcing banks to explain why the accounts are being closed, with an appeal process built in. Farage said as well as his own trouble with Coutts, he had been left “really angry” that several family members had been refused bank accounts or had them closed. “It’s tough enough for individuals to go into public life and take the stigma that goes with it,” he told PA. “But if it’s now going to have a huge effect on your family and close friends, why would anybody of any calibre want to go into public life in our country? I mean, this really matters.” The politician turned broadcaster revealed several weeks ago that Coutts had shut his accounts with no explanation. This week he obtained a 40-page dossier from Coutts, using a subject access request, to gain information about the decision. According to MailOnline, to which he handed the documents, the bank mentioned his retweet of a Ricky Gervais joke about trans women and his friendship with the unvaccinated tennis player Novak Djokovic to flag concerns that Farage was “xenophobic and racist”. The BBC, citing “people familiar with Coutts’s move”, had previously suggested Farage fell below the financial threshold needed to hold an account with Coutts. The Telegraph said the BBC report came a day after the BBC business editor, Simon Jack, sat next to the NatWest chief executive, Dame Alison Rose, at a charity dinner. Asked for comment, the BBC pointed to its own reporting of the story.