northern rock sold to virgin money
Last Updated : GMT 00:27:23
Arab Today, arab today
Arab Today, arab today

Northern Rock sold to Virgin Money

Arab Today, arab today

Arab Today, arab today Northern Rock sold to Virgin Money

London - Arabstoday

Northern Rock is being sold to Virgin Money for £747m, the government has announced. The bank was nationalised in 2008 following its near collapse at the onset of the global credit crunch. The government subsequently split the bank into two, Northern Rock plc, and Northern Rock (Asset Management), into which was placed its bad debt. Virgin is buying Northern Rock plc and has pledged no additional compulsory redundancies for at least three years. The bank currently employs 2,500 people, down from 5,500 when it was nationalised. Taxpayer loss The government said Northern Rock customers would see no change to their accounts and services and would not need to take any action. BBC business editor Robert Peston said taxpayers had injected £1.4bn into Northern Rock plc. He added that in addition to the immediate £747m the government will get back following the completion of the sale, there is the potential for the Treasury to receive a further £280m over the next few years. \"So on paper, taxpayers end up with a loss of somewhere between £400m and £650m,\" said our business editor. The size of the losses contained in the bad bank part of Northern Rock are still uncertain, but could amount to as much as £21bn. \'Safeguards jobs\' Chancellor George Osborne said: \"The sale of Northern Rock to Virgin Money is an important first step in getting the British taxpayer out of the business of owning banks. It represents value for money, will increase choice on the High Street for customers, and safeguards jobs in the North East.\" The sale of Northern Rock plc is expected to be completed on 1 January 2012. The government said it had no plans to sell Northern Rock (Asset Management). Virgin Money has pledged to establish a new headquarters in Newcastle, where Northern Rock is based. It also also agreed not to close any branches and instead to increase their number \"as the business\' growth allows\". In addition to paying £747m on completion of the sale, the government said Virgin Money was \"expected\" to pay an additional £50m within six months, and then a further £150m. September 2007: The BBC learns the Bank of England has given Northern Rock emergency financial support. Its shares drop 32% in a day and customers queue to withdraw their savings November 2007: Virgin says it would be interested in taking over the bank February 2008: Northern Rock is nationalised, the first such case since the 1970s. Chancellor Alistair Darling calls it a \"temporary measure\" December 2009: The UK government splits Northern Rock into a \"good\" bank and \"bad\" bank, paving the way for a sale of its \"good\" assets to a third party June 2011: Chancellor George Osborne confirms that he will sell Northern Rock to a single buyer November 2011: Northern Rock plc is sold to Virgin Money for an initial £747m. If Virgin Money sells or lists Northern Rock on the stock exchange in the next five years, it will have to pay the government an additional £50m to £80m. \'Right time\' Ron Sandler, Northern Rock executive chairman, said: \"The return of Northern Rock to the private sector has always been one of our key objectives. \"We said that this would be done at the right time and when there was a proposition in the best interests of taxpayers and other stakeholders. \"It is a very positive outcome for the company following a significant restructuring process.\" The Unite trade union said it hoped the announcement of the sale to Virgin Money \"will be the start of a secure future\" for Northern Rock\'s workforce. A savings and mortgage bank, Northern Rock currently has more than 70 branches. The bank was formed in 1997 when the former Northern Rock Building Society floated on the London Stock Exchange.  

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

northern rock sold to virgin money northern rock sold to virgin money

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

northern rock sold to virgin money northern rock sold to virgin money

 



Arab Today, arab today
Arab Today, arab today Jordanian woman reveals her project

GMT 00:46 2017 Saturday ,11 November

Jordanian woman reveals her project
Arab Today, arab today The Big Apple bike boom

GMT 10:47 2017 Wednesday ,22 November

The Big Apple bike boom
Arab Today, arab today Keep kids busy at Thanksgiving gatherings

GMT 11:14 2017 Friday ,10 November

Keep kids busy at Thanksgiving gatherings
Arab Today, arab today Leaders of Russia, Iran, Turkey meet

GMT 10:12 2017 Wednesday ,22 November

Leaders of Russia, Iran, Turkey meet
Arab Today, arab today 'Advanced' cyber attack targets Saudi Arabia

GMT 10:18 2017 Wednesday ,22 November

'Advanced' cyber attack targets Saudi Arabia
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Australian academic's book pulled

GMT 15:20 2017 Monday ,13 November

Australian academic's book pulled
Arab Today, arab today May under Brexit pressure at EU reform summit

GMT 02:14 2017 Saturday ,18 November

May under Brexit pressure at EU reform summit
Arab Today, arab today Delhi half-marathon to go ahead

GMT 03:51 2017 Saturday ,18 November

Delhi half-marathon to go ahead
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Honda recalls 800,000 minivans

GMT 11:43 2017 Wednesday ,22 November

Honda recalls 800,000 minivans
Arab Today, arab today VW says will invest over 34bn euros

GMT 07:19 2017 Tuesday ,21 November

VW says will invest over 34bn euros
Arab Today, arab today Singer Jahda Wahba has unlimited ambitions

GMT 07:56 2017 Monday ,20 November

Singer Jahda Wahba has unlimited ambitions
Arab Today, arab today paObama climate envoy slams Trump's rejection

GMT 16:04 2017 Friday ,17 November

paObama climate envoy slams Trump's rejection

GMT 09:23 2017 Saturday ,18 November

Fedra happy for “Between Two Worlds” success

GMT 11:15 2017 Thursday ,16 November

Angola oil boss sacked by father's protege

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation

GMT 11:38 2017 Wednesday ,15 November

Unloved vultures fight for their survival

GMT 11:49 2017 Thursday ,17 August

Egyptian artist presents new collection of designs

GMT 13:41 2017 Tuesday ,21 November

French choke up over proposal

GMT 00:44 2017 Monday ,20 November

Japanese regulators raid Airbnb

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday