RACHEL Reeves has been ordered to “come clean” over her use of expenses when she worked for a leading bank.
The Chancellor faced calls from the Tory leader Kemi Badenoch to answer claims bank money was used by her and two senior managers to “fund a lifestyle”.
Kemi Badenoch demands answers from the Chancellor over her time at bank HBOS[/caption]
Allegations include inappropriate spending on dinners, taxis, events and gifts including for each other at HBOS, the BBC reported.
She also came under pressure today over her CV which stated she worked longer at the bank than she actually did.
Tory leader Kemi Badenoch said: “The BBC’s investigation raises serious questions for Rachel Reeves. Keir Starmer said ‘’restoring trust in politics is the great test of our era’’.
“Until she comes clean – not just about her CV but about the circumstances in which she left HBOS, no one will take him seriously.”
But a lawyer for Ms Reeves insists she was not subject to “allegations of wrongdoing or misconduct” during her career there.
An HR manager who worked with the Chancellor at the same time said that she didn’t recognise the claims made.
However, a whistleblower believed that the spending was “excessive” and a six-page document outlining the concerns about the Customer Relations department was submitted in 2009.
The individual was then told to hand in a copy of their report along with receipts and other documents to the bank’s risk department.
The BBC claimed that the three managers appeared to have broken the rules but they were unable to establish the final outcome of any probe.
Ms Reeves’ spokesperson said she was “not aware of an investigation nor was she interviewed, and she did not face any disciplinary action on this or any other matters”.
They added: “All expenses were submitted and signed off in the proper way. Several former colleagues from her time at the bank, including HBOS’ former HR business partner, have corroborated this account.
“Rachel left HBOS in 2009 on good terms.”
A lawyer who represented the Chancellor when she left the bank, said: “My clear understanding at the time was that my client, who was in a senior role, left on good terms when HBOS plc was acquired in 2009, as evidenced by the payments made to her, the retention of her company car and other benefits for a six-month period, and a favourable reference.
“Absolutely no allegations of wrongdoing or misconduct were mentioned by the HBOS HR team during this process.”
Jane Wayper, an ex-HR business partner for HBOS who worked alongside the Chancellor, said she did not recognise any of the claims.
In a statement, she added: “In my role, I would have been made aware of any investigation which concluded there was a case to answer.
“I would have been required to organise and oversee a disciplinary process. This did not happen.”
Downing Street has given Rachel Reeves its backing after her use of expenses in a previous job and inaccuracies in her CV were called into question.
Asked whether Ms Reeves could be trusted, the Prime Minister’s official spokesman said: “Yes, the Chancellor is working with the whole of Cabinet deliver the Plan for Change.”
