PM Scott Morrison says NAB’s Andrew Thorburn and Ken Henry must ‘reflect’ on Hayne rebuke

PM stops short of calling for NAB resignations, but says Hayne’s sharp criticism means its CEO and chair must ‘reflect’.

NAB Chairman Ken Henry (left) and CEO Andrew Thorburn at the bank’s AGM in Melbourne. Picture: David Geraghty

Scott Morrison says NAB chief executive Andrew Thorburn and chairman Ken Henry should reflect on their positions after coming under scathing criticism in the banking royal commission.

The Prime Minister said he would not be “so bold” as to suggest Mr Thorburn and Dr Henry resign, but noted royal commissioner Kenneth Hayne had levelled “sharp” criticism at them.

“Commissioner Hayne was pretty sharp in his assessment and I think that gives them a lot to reflect on,” Mr Morrison said.

“I wouldn’t be so bold as to suggest (they should stand down), but I think Commissioner Hayne was pretty sharp.”

Mr Morrison said he expressed regret last year he did not call the royal commission earlier and his views were in line with Malcolm Turnbull’s.

Prime Minister Scott Morrison speaking in Townsville. Picture: AAP

“But let me be frank: I called the royal commission. I introduced the Banking Executive Accountability Regime, we introduced the Australian Financial Complaints Authority, we introduced the additional resources and support for ASIC,” Mr Morrison said.

“As a government, we have been taking action on this issue from the day we were elected. Labor were in government for six years. Bill Shorten was the financial services minister for goodness sake.

“Did he call a royal commission then? No. Did he take action then? No. Our government has taken action from the day we were elected on these issues.”

The prime minister’s comments come after NAB announced on Tuesday that Mr Thorburn would return from long service leave to deal with the Hayne royal commission’s findings.

NAB indicated that Mr Thorburn and chair Ken Henry would steer the bank while it was addressing issues highlighted by the royal commission.

The announcement came in the wake of the bank’s CEO and chair being singled out for particular criticism in the royal commission’s final report, sparking speculation that they may be forced to exit NAB.