Lloyds Banking Group is keeping quiet about whether it will review the services it offers to Nigel Farage and Reform UK, as allegations of financial misconduct surface for the party political leader.
Farage said on Tuesday that he would resign as MP for Clacton to fight a by-election in the constituency, insisting he has “done nothing wrong” in receiving benefits and gifts from wealthy backers.
The UK lender declined to comment on the extent of due diligence measures it undertook before banking Reform UK and its leader, as a series of allegations about Farage’s personal finances and donor links have emerged, as reported by The Sunday Times.
In response to questions from The Banker, Lloyds said: “We do not comment on individual customers.”
Only a few weeks ago, Lloyds was accused of debanking news website The Canary, in a move that the media outlet described as a “calculated assault on press freedom [and] political dissent”.
Lloyds, which owns the Halifax and Bank of Scotland networks as well as wealth management services, has banked Farage’s personal accounts since the end of 2023.
Reform UK later opened a bank account with Lloyds in December last year.
According to reports that first emerged in April, billionaire Christopher Harborne gifted Farage £5mn in the run-up to the 2024 general election before Farage announced he would stand as an MP, a donation now being investigated by the parliamentary standards commissioner.
Farage is under further scrutiny based on allegations that George Cottrell — who was jailed for eight months in the US in 2017 after pleading guilty to a charge of wire fraud — provided funding for security and staffing in the year before Farage was elected, according to reports.
Lloyds did not disclose what types of allegations could prompt the bank to review the provision of services to any political party or person, or scrutinise funds associated with their accounts.
There is no suggestion that Lloyds handled funds at the centre of the allegations.
Farage switched to Lloyds after NatWest debanked him in 2023. He confirmed the move to Sky News in October that year, noting: “After being refused banking facilities by 10 lenders, I am pleased to say that Lloyds has opened accounts for me.”
“It is good to see that at least one high street bank is not politically prejudiced,” Farage said at the time.
NatWest had considered Farage’s political views as factors in its decision to close his bank account, leading to the resignation of former chief executive Alison Rose.
Farage and Reform UK have been approached for comment.