Barclays has been warned that it risks damaging its reputation by “capitulating” to demands from activists to boycott Israel.
At least 20 branches of the bank have been attacked over the summer by pro-Palestinian protesters who are calling on it to cut ties with the country.
Barclays is being targeted because of its role in providing financial services to defence companies that supply weapons to the Israeli army.
More than 50 peers from across the House of Lords have now written to Nigel Higgins, the Barclays chairman, to urge the company to stand firm.
In a letter to Mr Higgins, they argued that the BDS (boycott, divestment and sanction) campaign against Israel “often [crosses] into anti-Semitism through inflammatory language and endorsements of violence”.
“For these reasons, BDS has been fiercely rejected by all major UK political parties and numerous world leaders,” the peers said.
“Furthermore, we believe that capitulating to the demands of these political activists would significantly damage Barclays’ reputation with the silent majority of customers and stakeholders both in the UK and the USA, who value the bank’s commitment to principled and fair business practices.”
The Financial Times reported last week that Barclays had begun to re-evaluate its financial involvement in Israel in an attempt to “quieten criticism” amid the ongoing war in Gaza.
But it emerged a day later that the bank had decided to reverse its plans to withdraw from future Israeli government bond auctions.
The signatories to the letter include Tory grandee Lord Frost, Lord Austin, a former private secretary to Gordon Brown, and Boris Johnson’s Brexit negotiator, and Lord Walney, the government’s political violence tsar.
“The acts of vandalism and disruption targeted at Barclays branches across the UK are deeply concerning,” they said.
“These unlawful and destructive tactics not only undermine the spirit of peaceful protest but also pose serious threats to the safety of Barclays’ employees and customers.
“Considering these challenges, we commend Barclays for standing firm against these acts of aggression.”
Members of the campaign group Palestine Action shattered glass, sprayed paint and threw rocks at branches from Glasgow to Brighton during coordinated protests in June.
The group partnered with Shut the System, a new underground climate movement, to carry out the attack, claiming that previous peaceful protests had proven “futile”.
Earlier this year, Barclays was forced to pull its sponsorship of the Latitude music festival amid pressure from pro-Palestinian activists.
The bank suspended its sponsorship of all Live Nation festivals, which also include Download and the Isle of Wight festival, after a backlash to its role in funding defence companies that supply Israel.
Musicians and comedians including Grace Campbell, the daughter of former Labour spin doctor Alastair Campbell, had withdrawn from Latitude over its ties to Barclays.
In response, Barclays insisted that it remains committed to the defence sector “as an essential part of keeping this country and our allies safe”.
“The only thing that this small group of activists will achieve is to weaken essential support for cultural events enjoyed by millions,” it added.
It came after BBC presenter Chris Packham was criticised for urging people who bank with Barclays to stick their heads in a bucket of petrol and set themselves on fire.
The Springwatch host was speaking at an environmental event in Derbyshire, where he urged people not to bank with financial institutions that invest in “fossil fuels, weapons and poverty”.
He said: “If anyone here is banking with Barclays, then I suggest you stick your head in a bucket of fuel and set fire to it, because you’re burning our planet down. And it’s time to put this stuff behind us.”
Barclays was contacted for comment.
Disclaimer: The copyright of this article belongs to the original author. Reposting this article is solely for the purpose of information dissemination and does not constitute any investment advice. If there is any infringement, please contact us immediately. We will make corrections or deletions as necessary. Thank you.
