Business

Barclays faces complaint over alleged anti-Semitism at Leicester branch

Barclays Bank has been hit with a formal complaint alleging anti-Semitism after a customer claimed staff at its Leicester business team unfairly froze his account because of his Israeli residency.

In a letter addressed directly to group chief executive CS Venkatakrishnan, journalist Martin Blackham accused the bank of discriminating against him on the basis of his nationality and location.

Blackham, who said he is a member of His Majesty’s press corps currently covering the war in Israel, claimed that his Barclays account had been blocked from normal use after the system flagged a request for further details which he was unable to update online.

“As the account details show that I am based in Israel this is clearly a case of anti-Semitism by the Barclays Business Team management in Leicester,” Blackham wrote in his complaint.

He alleged that despite raising the issue with Barclays three months earlier, on 8 June, the bank had failed to respond to his repeated correspondence. He described the situation as “disgraceful” and urged Venkatakrishnan to order a “thorough investigation” into the conduct of Leicester-based staff.

The letter further stated: “Anti-Semitism has no place in the Barclays Leicester workplace, and I expect not only a thorough investigation into this matter [but also] assurance that the matter has been resolved.”

The account freeze, Blackham argued, had restricted his access to funds while reporting from Israel, an operational difficulty he described as both unprofessional and discriminatory. He also claimed this was not the first time he had experienced similar issues with Barclays.

Barclays, which employs more than 80,000 people worldwide, has faced heightened scrutiny in recent years over its compliance processes in high-risk jurisdictions. While the bank has not yet commented on Blackham’s specific claims, it has previously stated a “zero tolerance” policy towards discrimination of any form.

Anti-Semitism complaints within UK financial services remain relatively rare, but banks have been criticised in the past for opaque decisions to close or restrict accounts linked to certain nationalities, residency statuses or politically exposed clients. In July 2023, NatWest was forced to apologise after the closure of Nigel Farage’s Coutts account sparked a political and regulatory storm over “debanking.”

Blackham’s complaint adds a fresh dimension to that debate, raising questions about whether compliance flags risk straying into unlawful discrimination.

A spokesperson for the Board of Deputies of British Jews, when contacted by Business Matters, said: “We are extremely concerned to hear allegations of anti-Semitism in the banking sector. All financial institutions must ensure that their compliance procedures are robust, transparent, and free from discriminatory practices.”

Barclays is expected to come under pressure to respond swiftly. The letter, dated Sunday 7 September, was copied to Business Matters after months of silence from the bank, according to Blackham.

The Financial Conduct Authority (FCA) declined to comment on individual cases but pointed to its rules requiring firms to treat customers fairly and to act without discrimination.

With anti-Semitism levels in the UK at their highest recorded since 1984, according to the Community Security Trust, the complaint is likely to draw broader scrutiny of how banks balance compliance with equality obligations.

Whether Barclays views the freeze as a procedural error, a compliance measure or a more serious internal failing may determine the reputational fallout. For now, Blackham says he awaits a reply “by return.”

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Barclays faces complaint over alleged anti-Semitism at Leicester branch