Dame Alison Rose, who resigned as CEO of NatWest over her handling of the closure of Nigel Farage’s bank account, is set to receive a £2.4m pay off.

She stepped down from the bank, trading as Royal Bank of Scotland north of the border, last month after admitting to being the source of an inaccurate news story about Mr Farage’s finances and is working her 12-month notice.

Mr Farage, who was among those who demanded Dame Alison be dismissed, called the pay package a “sick joke”.

NatWest said was entitled to £1.15m in salary for the year and £1.15m in NatWest shares, which she will receive over the course of five years. She is also in line for £115,566 in pension payments, bringing the total pay deal to around £2.4m.

However, her deal is still under review and it said the bank could decide to “claw back” those awards at a later date.

A spokesman said: “Like other employees where an investigation outcome is pending, Alison is currently receiving her fixed pay.

“This in line with her contractual notice period and remains under continual review, as the independent investigation continues. As previously confirmed, no decision on her remuneration will be taken until the relevant investigations are complete.”

Mr Farage, a former leader of the Brexit Party, said in early July that his Coutts account had been closed because of his political views.

A BBC report disputed his claims, stating that the account was closed because he no longer met the wealth threshold for Coutts.

Mr Farage subsequently obtained a document outlining his suitability as a Coutts customer. The 40-page document flagged concerns that he was “xenophobic and racist”, and also questioned the reputational risk of having Mr Farage as a client.

It said that to have Mr Farage as a customer was not consistent with Coutts’ “position as an inclusive organisation” given his “publicly stated views”.

On 26 July, Dame Alison resigned after admitting she had been the source of a story and there were calls from Downing Street, the Chancellor and other senior cabinet ministers for her to step down.

In a message on X, the social media platform formerly known as Twitter, Mr Farage said: “Any employee of NatWest that had done what she’d done would have been out the door, fired and would not even have received their month’s money.”