RBS Cancels Wimbledon Hospitality after Payment Crisis

The Royal Bank of Scotland (RBS) has curtailed plans to provide client hospitality at Wimbledon following the week-long payment processing crisis that has hit millions of customers.

Around three bank executives traditionally entertain more than a dozen clients on each day of the tournament, discount according to The Times. But the banking giant said last night that it would be “inappropriate” to provide hospitality at the tennis this year and has also cancelled a one-day tournament at Gleneagles in Scotland.

The crisis was sparked by a technical glitch last Tuesday which stopped payments going in and out of customer accounts. It happened again on Thursday and while the bank said the software was fixed on Saturday, patient a backlog of 100 million transactions had built up. An inside source talking to technology website The Register has claimed it was an “inexperienced operative” who caused the banking meltdown.

Thousands of customers were left without cash, causing disruption to people moving home and taking holidays. One man was left with nothing to eat or drink on a 12-hour night shift when his cash card was refused and another had to spend a weekend in prison because his bail money could not be transferred.

On Monday night, the bank said it had updated all but one per cent of NatWest and RBS account balances. However, many customers have vowed to leave the bank and shares in the group slumped 9.1 per cent yesterday.

RBS has apologised to its 16.9 million customers and promised that they will not be left out of pocket. But the bank is facing a “detailed investigation” by the Financial Services Authority (FSA), according to Sir Mervyn King, governor of the Bank of England.