18/05/2012
Northern Rock Rescue "Could Cost Taxpayer £2bn"
The National Audit Office (NAO) has estimated that taxpayers could lose almost £2bn once the assets of collapsed bank Northern Rock are wound down.
The public spending watchdog also said that taxpayers lost about £480m on the sale of Northern Rock PLC last year.
But the NAO said the sale of the bank to Virgin Money - criticised by some as too early - helped to minimise losses for the taxpayer.
Northern Rock was rescued in 2008 at the start of the financial crisis.
After nationalisation, the bank was split into a mortgage lending and savings arm, Northern Rock PLC, and a "bad bank" of sub-prime assets, Northern Rock Asset Management (NRAM).
Northern Rock PLC was sold Sir Richard Branson's Virgin at the end of 2011, at a loss to the taxpayer estimated by the NAO at £480m.
There was criticism at the time of the sale that the Treasury should have delayed any disposal until market conditions had improved and the taxpayer could get a better return.
But the NAO's head, Amyas Morse, said: "A sale of Northern Rock PLC at the earliest opportunity was the best option to minimise losses on the £1.4bn of public money invested in the bank."
(H)
The public spending watchdog also said that taxpayers lost about £480m on the sale of Northern Rock PLC last year.
But the NAO said the sale of the bank to Virgin Money - criticised by some as too early - helped to minimise losses for the taxpayer.
Northern Rock was rescued in 2008 at the start of the financial crisis.
After nationalisation, the bank was split into a mortgage lending and savings arm, Northern Rock PLC, and a "bad bank" of sub-prime assets, Northern Rock Asset Management (NRAM).
Northern Rock PLC was sold Sir Richard Branson's Virgin at the end of 2011, at a loss to the taxpayer estimated by the NAO at £480m.
There was criticism at the time of the sale that the Treasury should have delayed any disposal until market conditions had improved and the taxpayer could get a better return.
But the NAO's head, Amyas Morse, said: "A sale of Northern Rock PLC at the earliest opportunity was the best option to minimise losses on the £1.4bn of public money invested in the bank."
(H)
Related UK National News Stories
Click here for the latest headlines.
03 August 2010
Northern Rock Steadfast In Recovery
The boss of a once beleaguered UK bank is "encouraged" by news that nationalised Northern Rock's - a so-called 'bad bank' - has returned to profit following heavy losses last year in the wake of a bail-out by the taxpayer in 2008. Chief Executive Gary Hoffman said the Northern Rock 'AM' results were 'encouraging'.
Northern Rock Steadfast In Recovery
The boss of a once beleaguered UK bank is "encouraged" by news that nationalised Northern Rock's - a so-called 'bad bank' - has returned to profit following heavy losses last year in the wake of a bail-out by the taxpayer in 2008. Chief Executive Gary Hoffman said the Northern Rock 'AM' results were 'encouraging'.
13 February 2009
Northern Rock Shareholders Lose High Court Bid
Former Northern Rock shareholders have today failed in their legal challenge to the Government's plan to compensate them.
Northern Rock Shareholders Lose High Court Bid
Former Northern Rock shareholders have today failed in their legal challenge to the Government's plan to compensate them.
22 January 2013
Live Nation Awarded Olympic Park Contract
Live Nation, one of the world’s largest concert promoters, has been awarded the contract to take over the Olympic Park. The firm will host a series of concerts and festivals at the site this summer, with the Wireless Festival and Hard Rock Calling – which were previously held in London's Hyde Park – being the first events confirmed for the venue.
Live Nation Awarded Olympic Park Contract
Live Nation, one of the world’s largest concert promoters, has been awarded the contract to take over the Olympic Park. The firm will host a series of concerts and festivals at the site this summer, with the Wireless Festival and Hard Rock Calling – which were previously held in London's Hyde Park – being the first events confirmed for the venue.
23 November 2005
Lawyer denies Glitter sex allegations
Gary Glitter’s lawyer has denied allegations that the former rock star had sex with under-age girls. Le Thanh Kinh denounced newspaper reports about the allegations as “hearsay” and said there was no evidence to support the claims. He said: “What newspapers reported is just hearsay.
Lawyer denies Glitter sex allegations
Gary Glitter’s lawyer has denied allegations that the former rock star had sex with under-age girls. Le Thanh Kinh denounced newspaper reports about the allegations as “hearsay” and said there was no evidence to support the claims. He said: “What newspapers reported is just hearsay.
18 November 2011
Northern Rock Sale 'Poor Judgement' – Labour
Labour's Shadow Minister for the Treasury has said the sale of Northern Rock on Thursday by the Government was a 'poor judgement'. Richard Branson's Virgin investment company announced it was to purchase the almost disastrous Northern Rock bank on Thursday, while it has since emerged the sale will be at a loss for the taxpayer.
Northern Rock Sale 'Poor Judgement' – Labour
Labour's Shadow Minister for the Treasury has said the sale of Northern Rock on Thursday by the Government was a 'poor judgement'. Richard Branson's Virgin investment company announced it was to purchase the almost disastrous Northern Rock bank on Thursday, while it has since emerged the sale will be at a loss for the taxpayer.
-
Northern Ireland WeatherToday:After a dry start this morning rain will spread from the northwest across all parts. This afternoon will be dull with some patchy rain and drizzle. Becoming much milder through the afternoon. Maximum temperature 11 °C.Tonight:A cloudy evening and night with a little light rain or drizzle, perhaps some clear periods developing along the east coast. A very mild night everywhere. Minimum temperature 10 °C.