Northern Rock repossessions soar

My Account
Logout

Create an Evening Standard Account

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Welcome! Sign in here

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Forgot your password ?

Registration

* indicates fields that are mandatory

Email *

Password *

Confirm Password *

First name *

Surname *

Postcode *

Country *

Mobile phone number

Username *

Gender *

Year of birth *

When you sign up...

You will have access to all our online competitions, discounted offers and can post comments on our site.

You will also receive The Weekender newsletter sent every Thursday - it’s full of fantastic offers and ideas for the weekend. You can update your email preferences in your account page when you log in.

Other newsletters and emails

Homes & Property Newsletter - Yes I want to receive the weekly email with all the latest news on property in the capital

Occasionally we would also like to send you relevant emails detailing specific offers either from ourselves or carefully selected partners. If you would prefer not to receive these then please tick the appropriate boxes below. We will never pass on your details.

I do not want to receive additional offers and information from the Evening Standard

I do not want to receive additional offers and information sent by Evening Standard on behalf of carefully selected partners

Terms and Conditions

* I have read, understood and agree to be bound by the terms and conditions of Evening Standard

Registration

Mail Sent for Registration Confirmation.

A confirmation email has been sent. Please activate your account by clicking on the activation link sent in your mail box.

The firm held 3,620 repossessed homes at the end of 2008 compared with 2,215 a year earlier, the group's annual report showed.

The figures came as Northern Rock confirmed pre-tax losses of £1.36 billion for the year.

The lender's repossessed stocks peaked at 4,201 at the end of September, before easing back slightly towards the end of the year.

The state-owned bank says repossession is a last resort and has committed not to seize an owner-occupied home for at least six months after they fall into arrears.

But the overall rise during 2008 is due to Northern Rock being left with riskier customers as the bank drove higher-quality borrowers elsewhere to pay off its huge Bank of England loans.

The plans to shrink the business saw its overall residential mortgage book fall 27% to £66.7 billion, but arrears jumped sharply.

A total of 17,264 of its borrowers are three months or more in arrears - nearly five times as many as a year earlier.

The bank's infamous Together mortgage - which lent up to 125% of the value of a home before being pulled in February 2008 - now accounts for 29% of its mortgage book, up from 24% a year ago.

Northern Rock took £23.6 billion out of the mortgage market last year as customers moved elsewhere, paying off £18 billion of the £26.9 billion it owed the Bank of England in the process, but it will slow the pace of its redemptions in a bid to ease the current mortgage drought.