NatWest Group has published the key findings and recommendations from Phase 2 of the Travers Smith independent review, which was commissioned by the board in July. The review focused on account closures at Coutts over the 24-month period prior to 28 July 2023. The report confirms that decision-making was consistent with relevant standards and there was no evidence of discrimination. However, it identified areas where Coutts' policies and procedures governing exit decisions could be improved, particularly in the clarity and consistency of communications with customers. NatWest Group has accepted and will implement all the recommendations from Phases 1 and 2 of the review. The CEO of Coutts, Mohammad Syed, stated that improvements to customer account closure processes are already underway and that the bank is committed to implementing all the recommendations to deliver a better experience for customers. The report includes Travers Smith's key findings and recommendations in full.

The Phase 2 findings include that exit decisions were generally made in accordance with relevant bank policies and processes, with no evidence of discrimination. However, policies and procedures governing exit decisions could be improved in some areas. There is a lack of formal procedure or process governing how non-financial crime exits are carried out by Coutts staff, and deficiencies were found in the internal process followed and the content or format of exit letters. In some cases, Coutts potentially breached regulations by not providing at least 60 days' notice of account closure to customers, and potentially breached FCA rules by failing to provide reasons for exits. The report also identified potential compliance failures and best practice shortcomings in Coutts' data processing in respect of exit decisions.

NatWest Group is taking action to ensure better outcomes and experiences for customers across the bank. This includes reviewing and updating exit processes, establishing a new franchise exits process and PEP declassification programme, and issuing refreshed guidance and mandatory training on the complaints process. In October, the FCA confirmed that it is undertaking supervisory work with NatWest Group and Coutts. NatWest Group will continue to work with regulators and the UK government to improve communication with customers who are being exited.