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Rock predicts it will be in good shape for sell-off
04.11.09
Northern Rock, the bailed-out mortgage and savings bank, today said it would be “well capitalised and highly liquid” and back on the route to profitability when the Government sells it off.
Chancellor Alistair Darling is preparing Rock for sale as one of his planned three new High Street banks.
Chief executive Gary Hoffman said the third quarter had seen a continuing rise in the financial performance, and forecast a significant improvement in the second half as mortgage arrears fall. But Rock would still be loss-making for the year.
He expects the splitting of the business into a good bank and bad bank to be completed before the end of the year.
Rock still owes the taxpayer a total of £14.5 billion.
