View more on these topics

Ex-HBOS chief James Crosby stripped of knighthood

Sir James Crosby
James Crosby

Former HBOS chief executive James Crosby has been formally stripped of his knighthood following a damning report into the bank’s collapse.

Crosby was HBOS chief executive from its creation in 2001 following the merger of Halifax and Bank of Scotland to 2006. He was also FSA deputy chairman from 2007 to 2009.

Crosby said he would give up his knighthood in April alongside 30 per cent of his pension pot after a Parliamentary Commission on Banking Standards report called for Crosby, ex-chief Andy Hornby and chairman Lord Stevenson to be banned from working in financial services.

Commission chair Andrew Tyrie said in the report Crosby was the “architect” of the strategy that led to HBOS’ downfall. HBOS was forced to merge with Lloyds Banking Group in 2008 to avoid collapse, with the Government taking a 42 per cent stake in the merged bank.

The UK Cabinet posted news of Crosby’s annulled knighthood in the London Gazette, which says: “Letters Patent dated 11 June 2013 have passed the Great Seal of the Realm cancelling and annulling the Knighthood conferred upon James Robert Crosby on the 6 December 2006 as a Knight Bachelor.”

Crosby is the second bank boss to be stripped of its knighthood, joining Fred Goodwin who had his knighthood annulled in January 2012.



Steve Young: Non-advised – the Wild West of financial services?

When the FCA carries out its post implementation review of the RDR, one of the consequences is likely to have been a boom in non-advised sales. There are fewer advisers and, in order to survive, many will move away from transactional sales such as simple protection, small investments and annuities. At the same time, advances […]


FSCS Honister Capital payout hits £550k

The Financial Services Compensation Scheme has paid out over £550,000 to date to investors affected by the collapse of Honister Capital. The FSCS declared Honister Capital in default last month, including Burns Anderson, Sage and Honister Partners, part of the Honister Capital group. Claimants were asked to resubmit their claims following the default, including those […]

HMRC drops CGT charge on clean share class switches

HM Revenue & Customs has amended legislation to remove capital gains tax charges when selling down bundled assets to move into a clean share class. A change in legislation means any capital gains tax charge will be rolled over until final disposal of the assets. HMRC says it has made the changes to facilitate the […]

Who pays inheritance tax and how to declare it

By Kim Jarvis, Canada Life In this article we look at which forms personal representatives (PRs) need to complete and who actually pays inheritance tax (IHT).  To recap, under current rules, any part of the estate that falls within the available nil-rate band (NRB), currently £325,000, is taxed at zero. Anything in excess of the NRB […]


News and expert analysis straight to your inbox

Sign up


There are 8 comments at the moment, we would love to hear your opinion too.

  1. Derek Bradley ceo Panacea Adviser 12th June 2013 at 8:39 am

    I feel a little uncomfortable about this given that Hector Sants is now at Barclays with “Letters Patent”.

    Is there a quota of K’s and this removal has simply redressed the balance with a one in, one out policy?

  2. Roman Duzinkewycz 12th June 2013 at 9:00 am

    What about Hector Sants then? Surely he must be next?

  3. It is a disgrace that Hector Sants should keehis K when he was incharge of the regulator who turned a blind eye to what the banks were doing. Now is the time for his to be revoked

  4. If Sants had one iota of integrity, he would go.

  5. Not just Sants but the whole lot of them that were at the FSA during the period up to the crash should be drummed out of this business.
    Right school network and a degree that doesn’t even begin to prepare you to make decisions costing others millions and then to cap it all they bailed out before it even hit the fan. It stinks.

  6. With an annual pension estimated at £700,000 – I reckon he will still be laughing all the way to the bank …and laughing at it!!

  7. He was also the FSA deputy!!!!!!!!!!!
    My god no wonder the banks had cart blanch to do what they wanted. How in earth did the head of a bank be appointed to a senior position of the FSA at the SAME time.
    Beggars belief

  8. To be fair to MR Crosby, he asked for it to be taken away.

    When I queried (strongly) Hector Sant’s Knighthood with local MP Bernard Jenkins, his limp response was that MP’s don’t get involved either way in this and it would not be proper for him to enquire.

    My take on that is we will need to rely on the integrity and honourable practice of these individuals to hand the knighthoods back.

    Well done Mr Crosby for displaying some integrity I will live in hope that the others do the same.

Leave a comment


Why register with Money Marketing ?

Providing trusted insight for professional advisers. Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

News & analysis delivered directly to your inbox
Register today to receive our range of news alerts including daily and weekly briefings

Money Marketing Events
Be the first to hear about our industry leading conferences, awards, roundtables and more.

Research and insight
Take part in and see the results of Money Marketing's flagship investigations into industry trends.

Have your say
Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

Register now

Having problems?

Contact us on +44 (0)20 7292 3712

Lines are open Monday to Friday 9:00am -5.00pm