HARMAN ADMITS SIR FRED BLUNDER!

Ms Harman has been an outspoken critic of Sir Fred's pension

Harriet Harman has admitted wrongly telling MPs that the ex-banking boss Sir Fred Goodwin had received his knighthood for charity work.

Labour's deputy leader made the blunder as she stood in for Gordon Brown at prime minister's questions.

The official record shows the former Royal Bank of Scotland chief was knighted "for services to banking".

Sir Fred has faced calls to be stripped of his knighthood for helping drive RBS to the brink of ruin.

Ms Harman, who has been the most outspoken Cabinet critic of Sir Fred's £700,000-a-year pension deal, was challenged about the honour by Plaid Cymru Westminster leader Elfyn LLwyd.

Asked who had put him forward and why, she told him: "I think Sir Fred was nominated for a knighthood because of his services for the Prince's Trust.

"I understand it was not in recognition of his services to banking."

But immediately after the Question Time session, Ms Harman was forced to correct the mistake.

In a statement, her office said: "The Leader of the House is happy to correct what she said at Prime Minister's Questions today regarding Sir Fred Goodwin's knighthood.

"It was, in fact, the case that he received his honour for services to banking but no doubt his contribution to the Prince's Trust would also have been taken into account."

Earlier in the session, acting Conservative leader William Hague taunted Ms Harman about her alleged Labour leadership ambitions saying "this could be her moment".

To howls of laughter from Tory MPs, Mr Hague compared Labour's deputy leader to Churchill, who stepped in when his party lost confidence in its leader.

He also invoked Harold Macmillan, who took over from Anthony Eden.

Ms Harman, standing in for Gordon Brown at prime ministers' questions, accused Mr Hague of focusing on "gossip".
BBC NEWS REPORT.