Duke sent his friend Treasury document

THE Duke of York passed a Treasury document about the Icelandic financial crisis to Jonathan Rowland, whose family months earlier had bought part of a collapsed Icelandic bank.

Leaked emails reveal how Andrew requested a private briefing about the Labour Government’s bid to reclaim a

£2.3 billion debt owed by Iceland following online bank Icesave’s collapse. The emails show that two hours after receiving the document, which was drawn up by one of Chancellor Alistair Darling’s key officials, Andrew forwarded it to Mr Rowland – and suggested that he waited before making his ‘move’.

The revelation shows how, thanks to their close relationship with Andrew, the Rowlands were granted extraordinary insight into the thinking of the Government’s top decision-makers.

The implosion of Iceland’s banking system in October 2008 hit 230,000 Britons who had savings in Icesave, part of collapsed bank Landsbanki. Under a deal agreed in 2009, Iceland was to pay the UK £2.3billion by 2024. Icelanders opposed the deal, rejecting it in a referendum in March 2010.

The leaked emails reveal that a month before polling day, Amanda Thirsk, the Duke’s deputy private secretary, emailed a top Treasury official asking for an update.

‘Basically, the Duke of York met with the Prime Minister of Iceland at Davos and would very much like to receive an update note on the latest position,’ she wrote in an email to Michael Ellam, the Treasury’s director general of international finance. Mr Ellam passed the request to Sophie Dean, Mr Darling’s private secretary.

The Treasury sent the completed document on February 15 and Ms Thirsk forwarded it to the Duke.

But the leaked emails show that Andrew then sent the document to Jonathan Rowland that afternoon, writing: ‘Amanda is getting signals we should allow the democratic process [to] happen before you make your move.’ Nigel Mills, of the Public Accounts Committee, said: ‘The Treasury isn’t there to provide private briefings. It is an abuse of position.’