Remaining shareholders finally settle RBS class action

The group is made of 9000 private and commercial shareholders who claimed they were duped into handing £12bn to the bank during the financial crisis.

The amount is below the 200p-230p a share that investors paid during the fundraising at the height of the financial crisis, when they say RBS lied about its financial health.

The settlement means that the disgraced former chief executive of RBS, Fred Goodwin, will not appear in court.

The groups of investor, who have held out after many others settled before this month’s scheduled court case, voted on the settlement on Monday evening, but have declined to comment on whether the decision was unanimous.

Shares in RBS fell 1.1 per cent to 256.85p.

Shortly after the rights issue in 2008, RBS was bailed out with £45bn taxpayers’ money.

The state still owns more than 70 per cent of the bank.