Debanking: A Global Issue, A Swiss Perspective

• Published date: 05 February 2026
• Law Firm: Skandamis Avocats
• Author: Romanos Skandamis and Christopher D'ambrosio

Debanking first began reaching an international audience in 2023 as the British politician Nigel Farage revealed that his long-standing banker, had decided to abruptly close his accounts and show him the way out.

The decision was initially presented as commercially motivated, however, a subsequent subject access request shed light on the real reasons: an internal assessment perceived a misalignment between Farage's public profile and the values of the institution. In other words, the reasons could be understood as being essentially political.

The episode triggered significant political and regulatory scrutiny in the UK, ultimately leading to high-level resignations and to a broader reflection on the boundaries of risk-based offboarding in modern banking.

But that case was not the only one to come into the public spotlight. In 2021, JPMorgan Chase reportedly terminated its relationship with Donald Trump who contends that the decision was driven by political or reputational considerations rather than individualised risk assessments, and filed a multibillion-dollar lawsuit in early 2026.

But even away from high profile cases, regulators have increasingly identified debanking or "de‑risking" as a structural issue.

The European Banking Authority has documented widespread de‑risking across member states, emphasising its potential to hinder financial inclusion, distort competition and undermine the effectiveness of AML/CFT supervision.¹

In Asia, the Hong Kong Monetary Authority has repeatedly cautioned against blanket exit strategies, stressing that sound AML/CFT practice requires a proportionate, differentiated assessment rather than wholesale exclusion of entire client categories.²

"Debanking" has emerged as a recurring theme in international discourse. High profile cases such as the ones described above have created the perception that the phenomenon primarily targets politically exposed or controversial individuals. In practice, however, such cases represent only a narrow manifestation of a broader phenomenon.

In Switzerland, debanking has also lately become part of the banking landscape. This has been driven by an increase of compliance needs often rendering structures considered complex or otherwise risky, undesirable for Swiss banks. Blanket debanking has also been a part of the Swiss landscape in recent years based on criteria such as geographic location.

Further, trustees and other fiduciaries, or entities in emerging or regulated sectors such as...