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Sale of Northern Rock on agenda
THE possibility of Northen Rock being prepared for a sale will be high on the agenda later this week when the government outlines its plans for the UK banking sector.
Keen to improve the competitive environment in UK banking, the government is expected to open the door to the sale of Northern Rock to a group that has no presence on the High Street. Virgin Money is considered the likeliest buyer but there could be surprise interest from elsewhere.
UKFI, which has major stakes in Lloyds Banking Group and RBS, is expected to hang on to those positions until investors have regained confidence in the UK banking sector. UKFI will make a statement later this week.