Fred Goodwin

Elizabeth Rigby

At the start of the week, there seemed to be a general consensus among politicians that Stephen Hester was right to turn down his £1m RBS bonus but the treatment of Sir Fred Goodwin has sparked unease even among the political class, unsettled that due process has been cast aside to make a populist point.

If that is how the politicians are feeling, imagine how his de-robing has gone down within business circles. The hounding of Hester and demonisation of the former RBS chief has unnerved other chief executives of big FTSE companies, frustrated about the anti-business vernacular emerging from government as well as the opposition benches.

One FTSE chief executive said government’s handling of Goodwin had been akin to a “political drive-by shooting” and played to the gallery. Another said that this sort of “personalised, totemic targeting” was vindictive and would serve only to make business leaders withdraw from public life. Read more