Labour MP John Mann said he had been told by “City insiders” that RBS would have to pay more than the record £290m fine levied on Barclays by US and UK financial regulators.
The Telegraph reported Mann claimed the government was already aware of the scale of the fines on the bank, which is 82% owned by the taxpayer.
“There is an obvious government advantage in allowing Barclays to take the full flak and letting RBS sneak in later,” the paper reported.
Mann demanded Chancellor George Osborne reveal if he has been briefed on any role RBS might have had in the LIBOR fixing scandal, who he was briefed by and who had has told in government.
The Telegraph said Mann was an outspoken critic of the banking industry, and last month “lambasted” chairman of the Treasury select committee Andrew Tyrie after he was not invited to join a parliamentary committee looking into ways to reform the industry.
