Alistair Darling, former Chancellor of the Exchequer, has criticised the move to single out ex-Royal Bank of Scotland (RBS) chief Fred Goodwin by stripping him of his knighthood.
Writing in The Times, Darling, who was Chancellor during the rise and fall of RBS, said Goodwin had been treated in a "tawdry" way by MPs.
The former RBS chief executive became a focal point for public anger towards bankers when the credit crisis struck in 2008. He was stripped of his knighthood yesterday by the honours forefeiture committee.
The former banker presided over a huge expansion in the size of RBS between 2001 and 2008, culminating in the bank heading a £49bn consortium deal to buy Dutch bank ABN Amro at the top of the market in 2007.
He was awarded a knighthood for services to banking in 2004 but became a hate figure during the financial crisis after the government was forced into a £45bn bailout of the bank.
However, Darling said today if Goodwin has lost his knighthood, others should also receive the same treatment.
He said: "There is something tawdry about the government directing its fire at Fred Goodwin alone; if it is right to annul his knighthood, what about the honours of others who were involved in RBS and HBoS?"
Honours are usually only removed from individuals who have been convicted and jailed, but the Cabinet Office said the scale of the RBS disaster made the case "exceptional".
Darling is something of a lone voice among politicians however, with other ministers welcome the decisions.
Prime Minister David Cameron said it was the "right decision", while current Chancellor George Osborne insisted Goodwin represented "everything that went wrong in the British economy over the last decade".
Labour leader Ed Miliband said the punishment was "only the start of the change we need" in boardrooms.
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