In a recent development, the UK's Information Commissioner's Office has written to banks reminding them of their responsibility to protect the public's data and privacy.
This comes after the recent controversy surrounding the de-banking of
Nigel Farage, the former leader of the UK Independence Party (UKIP), and the resignation of Dame Alison Rose, the CEO of NatWest.
Following the admission by Dame Alison that she had discussed Farage's bank details with a BBC journalist, suggesting that his account at the bank's Coutts division had been closed for commercial reasons rather than political ones, Farage called for more NatWest resignations.
He also criticized the bank's handling of his account closure, claiming that it was a "political decision" rather than a commercial one, and that he had not been able to open another bank account.
At a banking summit held on Wednesday, Treasury minister Andrew Griffith met with 19 bank bosses to discuss concerns that other figures, not just Farage, were being denied access to banking due to their politics or perceived beliefs.
The industry agreed to work with the government and regulators to implement new rules aimed at strengthening protections on account terminations or access to accounts.
In response to the controversy, Farage called for the entire NatWest board to resign, including Sir Howard Davies, the chairman of the NatWest Group, who he claimed had endorsed Dame Alison even after it emerged that she was the person who had leaked his information to the BBC.
However, it is unlikely that Sir Howard will follow Dame Alison out of the bank, as it could prolong the search for her successor and the need for stability at the top of the bank.
The incident has raised concerns about the role of banks in political matters and the use of customer information.
Banks are expected to maintain accurate information about their customers and not use it in a way that is unduly unexpected or for political reasons.
The incident has also highlighted the importance of data privacy and the need for banks to respect their customers' privacy and protect their information.
Farage has not decided whether he will seek compensation for the incident, which has taken up much of his time in recent months.
He claimed that he has been approached by thousands of people who Dame Alison Rose, the CEO of NatWest, has resigned from her position following a controversy over the closure of a bank account belonging to
Nigel Farage, the leader of the Brexit Party.
The resignation was announced by the bank's chairman, Sir Howard Davies, who said that Dame Alison had stepped down by "mutual consent" and that her departure was a "sad moment." The controversy surrounding the closure of Farage's bank account first came to light in February when the BBC inaccurately reported that his account had been closed because he did not meet Coutts' financial thresholds.
However, documents obtained by Farage later revealed that his political beliefs and connections had formed part of the rationale for the closure of his account.
Farage accused the management of Coutts, which is owned by NatWest, of a "serious breach" and called for Dame Alison's resignation, describing her position as "totally untenable." He also wrote to the head of NatWest's Coutts unit, Peter Flavell, "three times" since his account was closed but did not receive any response.
Dame Alison initially defended the bank's decision to close Farage's account, saying that it was a commercial decision and that she was not involved in the decision-making process.
However, she later admitted that her actions were a "serious error of judgment" and apologized for confirming Farage's account details to the BBC's business editor, Simon Jack.
The BBC apologized for its initial report, along with Coutts and Dame Alison, and Paul Thwaite, the current CEO of the company's commercial and institutional business, was announced as an interim CEO for NatWest, pending regulatory approval.
The board also said that a process to appoint a permanent successor will take place in due course.