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Goodwin stripped of knighthood

Ex-banker Fred Goodwin's disgrace has been completed after he was humiliatingly stripped of his knighthood.

The award was "cancelled and annulled" by the Queen after a key committee found he had brought the honours system into "disrepute".

Politicians hailed the move, which brackets the former Royal Bank of Scotland (RBS) boss with notorious figures such as Soviet spy Anthony Blunt and Zimbabwe's Robert Mugabe.

David Cameron said it was the "right decision", while Chancellor George Osborne insisted Mr Goodwin represented "everything that went wrong in the British economy over the last decade".

Labour leader Ed Miliband said the punishment was "only the start of the change we need" in boardrooms.

Mr Goodwin received his knighthood for services to banking under the Labour government, before guiding RBS to the brink of collapse in 2008.

Honours are usually only removed from individuals who have been convicted and jailed, but the Cabinet Office said the scale of the RBS disaster - necessitating a £45 billion bail-out from the taxpayer - made the case "exceptional".

"Both the Financial Services Authority and the Treasury Select Committee have investigated the reasons for this failure and its consequences," the department said in a statement.

"They are clear that the failure of RBS played an important role in the financial crisis of 2008-09 which, together with other macroeconomic factors, triggered the worst recession in the UK since the Second World War and imposed significant direct costs on British taxpayers and businesses.

"Fred Goodwin was the dominant decision maker at RBS at the time. In reaching this decision, it was recognised that widespread concern about Fred Goodwin's decisions meant that the retention of a Knighthood for 'services to banking' could not be sustained."


From Belfast Telegraph