Northern Rock to be nationalised

[Taf]

Northern Rock is to be nationalised, the BBC's business editor Robert Peston has learned.

A consortium led by the Virgin group was leading bids to run the beleaguered bank, while a management buyout had also been considered.

But ministers have decided that nationalisation - the first such move since the 1970s - was the only option.

UK taxpayers are now subsidising the bank in loans and guarantees to other lenders to the tune of about £55bn.

http://news.bbc.co.uk/1/hi/business/7249575.stm

I hope it sticks in Brown's throat.... but doesn't bankrupt the UK.....

Ah well, Brown must be happy that his mortgage with them is now safe...

[Leonidas]

They stop Virgin taking over Northern Rock:  Then state that nobody wanted to take the Bank over: Now Shareholders are going to be ripped off by the Government.