Pendle MP, Gordon Prentice, has today renewed his call for Sir Fred Goodwin to be stripped of his knighthood.

He was awarded the knighthood in 2004 for “services to banking”. 

The disgraced banker, who as chief executive of the Royal bank of Scotland presided over the biggest loss in British commercial history, is now at the centre of another controversy concerning his pension of close to £700,000 a year.

Speaking from his constituency office in Nelson earlier today, the MP said: “The revelations about this extravagant pension, which kicks in at 50, will make most people gag in disbelief.”

“The pension should not be paid and Sir Fred should argue his case in Court.”

Honours can be forfeited. A Forfeiture Committee consisting of the Cabinet Secretary, Treasury Solicitor, Permanent secretary to the Home Office and Permanent Secretary to the Scottish Executive makes recommendations on any proposed forfeiture to the Prime Minister who passes it to the Sovereign.