Former Royal butler Michael Hardern has been sent packing by bosses at Bradford's Yorkshire Building Society.

And the news delighted bosses and staff at the Yorkshire who feared that conversion would mean the loss of the building society from Bradford, with all its associated jobs.

The man who has served members of the Royal family was told "No, Sir" by the directors of the society last night after his bid to turn it into a bank failed.

He was also told he could not have a seat on the board.

It means 1.2 million building society members will not get windfall payments of up to £1,000, but at an extraordinary meeting of the board at the firm's Rooley Lane headquarters last night, directors voted to reject Mr Harden's approaches.

They had legal advice which showed his bid was invalid as he did not attract the 50 valid nomination required to stand as a director.

But Mr Hardern, who is a freelance butler, said he may make another challenge -- on December 31.

David Anderson, chief executive of the society, said the board would not be putting its own conversion resolution to members because it believed that it could serve the long-term interests of members better by remaining a mutual society.

He added: "We believe that conversion for the Yorkshire Building Society would mean lower savings rates, higher mortgage rates and branch closures."

Mr Anderson said the decision meant that the firm's head office would stay in Bradford, with its total staff of 1,700 and was good news for the city - including all its suppliers.

Chairman Derek Roberts said: "The board believes it has no choice but to reject Mr Hardern's candidacy for election as director and clearly we cannot put a void conversion resolution to our members."

Mr Hardern, 41, a former Royal butler, has already had his conversion bids rejected by two of the seven building societies he has targeted for similar reasons - the Coventry and the Britannia.

He said: "It is a shame they will not ask their members what they want."

If Mr Hardern had won the day Bradford it would have cost the Yorkshire £2 million to keep its 1.2 million members informed about the procedure.

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