RBS governance shake-up call

SMALL shareholders in RBS have mounted a fresh attempt to overhaul the statebacked bank’s governance processes to give themselves more of a say in how it is run.

Sharesoc, a not-for-profit group that represents retail investors, said 100 RBS shareholders had backed its call for RBS to create a shareholder committee, and that it would be pressing for a vote on the matter at its annual general meeting in May.

It said: “The informal nature of current shareholder engagement (cosy chats with selected shareholders behind closed doors) does not work well for the broad shareholder base.

“It is not clear whether investors are each being told

the same story, how information is being spun, or whether complete or only partial information is being given out.”

Sharesoc first proposed the creation of a committee this time last year, but RBS chose not to put it to a vote, claiming it was “inconsistent with the law and the compa- ny’s constitution”.

The group’s director and campaign manager, Cliff Weight, said: “We are hop- ing RBS will engage with us and work constructively in developing an improved governance framework.”

An RBS spokesman said: “Whilst it is the role of the company directors to repre- sent shareholders, we will review any proposal that is submitted and make our re- sponse clear in due course.”