Fred Goodwin quits Queen’s charity to avoid more embarrassment over stripped knighthood

By
Lee Moran

Last updated at 10:30 AM on 5th February 2012

Disgraced banker Fred Goodwin has quit his role as a trustee of the Queen’s personal charity days before he was stripped of his knighthood – in a bid to avoid embarrassing the Royal family.

Goodwin, dubbed Fred the Shed because of his ruthless cost-cutting which took the Royal Bank of Scotland to the verge of collapse, resigned from the Queen’s Silver Jubilee Trust last week.

He was made one of six trustees at the charity, which distributes money to good causes, in 2004 because of his close links to Prince Charles in his former role as chairman of the Prince’s Trust.

Fred Goodwin has resigned from the Queen's Silver Jubilee Trust to avoid embarrassing the Royal family

Fred Goodwin has resigned from the Queen's Silver Jubilee Trust to avoid embarrassing the Royal family

Fred Goodwin has resigned from the Queen’s Silver Jubilee Trust

The news of his resignation came as it was reported the Royal family was ‘concerned’ about the cancelling of his knighthood by the Honours Forfeiture Committee.

The Queen had to act on the ‘advice’ given to her. But it is understood she voiced misgivings before signing the order to annul the honour presented to him in the 2004 Birthday Honours List for services to banking.

Her worries were apparently shared by the Princess Royal and the Duke of York.

It is believed this is because knighthoods are usually only cancelled if a recipient has been sentenced to more than three months in prison or has been struck off by from their profession.

The Queen's granddaughter Zara Phillips is sponsored by the bank

The Queen’s granddaughter Zara Phillips is sponsored by the bank

But Goodwin has not been convicted nor censured in his profession.

A source told the Telegraph: ‘The Queen is concerned about the precedent that it sets.

‘Are we now going to have incoming ministers stripping their predecessors of their roles as Privy Counsellors if they want to make scapegoats of them?

‘The Queen is very much aware that this decision opens a new can of worms.’

The Queen was reported as recently as last October to be adamant that Goodwin should remain a trustee of the trust.

Her biographer Robert Hardman wrote in Our Queen, which was sanctioned by Buckimgham Palace: ‘The Queen saw no reason why a man who had given long service to royal charities should not continue to do so.’

Goodwin was chairman of the Prince’s Trust from 2003 until 2009 and of its Scottish branch for four years before that.

The Princess Royal’s son, Peter Phillips, was given a job at RBS and her daughter, Zara Phillips, is sponsored by the bank.

A Buckingham Palace spokesman declined to comment on the Queen’s views.

 

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