RBS clears out senior leadership at Natwest Markets investment bank

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RBS' investment banking division has been underperforming recently (image: Getty)

The chief executive and chief financial officer of Royal Bank of Scotland’s (RBS) underperforming investment bank have stepped down, as new chief executive Alison Rose launches a shakeup of the executive team. 

The departure of Natwest Markets’ chief executive Chris Marks and chief financial officer Richard Place was announced in a statement on Thursday morning. 

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The move is the first significant management shakeup by Rose since she took charge of RBS last month. Rose had warned staff on her first day that RBS would need to “reduce the bad costs across the bank”. 

Direct trading at Natwest Markets in the third quarter was partially responsible for tipping RBS into a loss for the period, and analysts have criticised the division’s performance. 

The division has shrunk significantly since the financial crisis, but Rose said in statement this morning that Natwest Markets “plays a crucial role within RBS”.

Rose thanked Marks and Place “for their commitment and dedication to this bank, its staff and its clients”.

She said the pair had “set the foundations for the continuing transformation and simplification across NatWest Markets”.

Robert Begbie and Robert Horrocks have been appointed interim chief executive and chief financial officer respectively. The bank has begun an internal and external search for their successors. 

To assist with an orderly transition, Marks will remain at RBS until June and Place until March, the bank said. 

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“I am proud to have been a part of the journey to transform the bank and I’d like to thank the many talented people I‘ve had the pleasure of working with,” said Marks. 

“In the face of challenging operating conditions, we continued to provide market-leading products and services to our clients, whilst being relentless in improving efficiency. I wish the new leadership team all the best for the future”.