PM mulls N Rock nationalisation
The prime minister has refused to rule out the possibility of troubled lender Northern Rock being brought under state control.
Following September’s historic bank run amid fears the company would go into liquidation, the government has been forced to reassure the lender’s customers that their money is safe.
Chancellor Alistair Darling guaranteed savers’ money with £25 billion of taxpayers’ money and reports suggest the lender could soon be nationalised.
Richard Branson’s Virgin Group and private equity firm Olivant are the only remaining private bidders for the bank and analysts suggest government control may be the only viable option.
Speaking to Andrew Marr on his BBC show this morning, Mr Brown admitted that a private sector bid was the “preferable option” but that all options for the Newcastle-based bank were still being considered.
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