The Royal Bank of Scotland is to pay German prosecutors €23.8 million ($26 million) to settle an investigation into tax evasion by Coutts' Swiss private bank.

The investigation first came to light in February this year when the Edinburgh-headquartered bank said that it was working with German authorities that were probing Coutts for allegedly helping HNW individuals evade tax.

In March, RBS agreed to sell the international private banking and wealth businesses under the Coutts brand to Switzerland’s Union Bancaire Privee as part of its goal to create a UK-focused bank.

The settlement is thought to involve immunity for any current or former staff, according to reports. The Dusseldorf prosecutor's office told Bloomberg that the award was "in proportion to the undeclared assets of German customers the bank handled." More details will follow when available.