I’ve been debanked over Virgin Money takeover, says Nationwide rebel

Nationwide has closed the accounts of a campaigner who has led calls to offer members a say within the constructing society’s £2.9 billion takeover of Virgin Cash.

Mikael Armstrong has mustered greater than 5000 signatures demanding a vote on the deal – the biggest takeover within the sector for the reason that 2008 monetary disaster.

It might create Britain’s second largest financial savings and loans group and has already been permitted by Virgin Cash’s shareholders.

Armstrong argued that Nationwide’s 16 million members, who personal Britain’s largest constructing society, must also be balloted.

However in a shock twist, the Mail on Sunday has realized that Armstrong’s varied accounts with the society have been frozen in April – simply as his marketing campaign towards the deal was entering into full swing.

‘It is extremely unlikely to be a coincidence,’ he stated. ‘They gave me no causes or justifications.’

Information of his ‘de-banking’ comes simply ten days earlier than Nationwide’s annual normal assembly (AGM) the place administrators – together with chief govt Debbie Crosbie – are up for re-election. Nationwide has made the occasion online-only, which campaigners imagine is a bid to stifle dissent. Campaigners additionally argue that some members have been reluctant to voice their opposition to the deal for worry of being de-banked.

Armstrong has been a Nationwide buyer for greater than 25 years however his de-banking means he has misplaced his membership standing and can’t attend the AGM.

He argues that voting towards all resolutions ‘is the one efficient methodology of protest left open to Nationwide members who really feel handled with contempt by a mutual society that’s supposed to stick to democratic rules’.

In frequent with different constructing societies, Nationwide is a mutual, which implies it’s owned by its tens of millions of members. The Virgin Cash deal nonetheless awaits the blessing of the Monetary Conduct Authority, the Metropolis watchdog.

Individually, the FCA is because of publish its remaining report into de-banking later this month. Its publication, which was delayed till after final week’s Normal Election, will give attention to how banks deal with PEPs – ‘politically uncovered individuals’ corresponding to MPs, friends and their households who could also be weak to monetary crime. It follows the furore over NatWest’s resolution to de-bank Reform chief Nigel Farage, which led to the resignation of the financial institution’s chief govt Dame Alison Rose. The FCA has stated it can not change the legislation that requires further checks on PEPs.

However it’s whether or not test on PEPs are proportionate, applicable and don’t create pointless limitations for public servants and their households.

Armstrong stated Nationwide first started its motion late final yr. In March, earlier than the Virgin bid was introduced, it advised him he had three months to maneuver his accounts to a different supplier.

However on April 19 he obtained a letter from the society ‘out of the blue’ freezing his accounts and ordering him to ‘make different preparations’ for his banking whereas additional checks have been carried out.

Nationwide stated it was unable to debate particular person accounts.

A spokesman stated: ‘We don’t shut accounts attributable to somebody expressing lawful opinions. We’re unaware of any event the place accounts have been closed purely due to somebody’s political feedback or opinions.’

The society continued to fulfill ‘its authorized and regulatory obligations’, the spokesman added.

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