Qualified advisers answering your
Financial Questions
call 0800 092 1245

Northern Rock announces losses of £1.36 billion

Northern Rock today announced losses of £1.36 billion although £1.2 billion of the losses incurred as a result of interest charges and fees paid to the UK government. While there's been no official confirmation as to the remaining balance of taxpayer funding owed by the bank it is known to be significant and into the billions of pounds. So what does the future hold for Northern Rock?

The company has been something of a nightmare over the last 12 months having been taken under government control after nearly bringing the UK financial sector to its knees. After instigating a programme which saw the vast majority of mortgage holders transferred to competitors the company has now done an about turn and will be injecting up to £14 billion into the UK mortgage market over the next two years.

While the headline figures, after taking into account interest and charges, are not too bad it is worth remembering that Northern Rock has the worst repossession rate in the industry and at the moment some of the most uncompetitive mortgage rates around. It will be interesting to see how quickly the UK government is able to inject the planned £14 billion into the mortgage market and at what rate the funds will be made available.

Share this..

Related stories

Financial Guides

Financial Calculators

Our useful calculators can help you get your finances in order:

Latest News


Helpful new tax year facts that could affect you and your money

Blog | Seven helpful new 2016/2017 tax year facts that could affect you and your money. Our recent online blog shares a brief outline on how to stay up to date.

Read more

Useful Links

Popular Searches

Please Enter More Details

Enter More Details