BusinessCompany NewsONS puts Rock on balance sheet

ONS puts Rock on balance sheet

Move to put stricken bank on the government's balance sheet, threatening government rules on debt.

The Office of National Statistics has classified Northern Rock as a ‘public
financial corporation’, bringing its £90bn debt onto the UK’s balance sheet.

The move will be humiliating for the government, threatening as it does to
breach government rules on indebtedness.

The reclassification is backdated to October 9, when the Bank of England made
all of the stricken bank’s assets its collateral for its lending.

The ONS said: ‘The decision is in line with international statistical
guidance. It should not be confused with “nationalization”, which is a term
commonly used to refer to public ownership.’

Since the Bank of England is required for the bank to make major decision, it
must be on the public balance sheet, the ONS said.

Related Articles

M&S business rate liabilities based on £570m rateable value

Company News M&S business rate liabilities based on £570m rateable value

4m Emma Smith, Managing Editor
BDO replaces Deloitte as Mitie auditor

Audit BDO replaces Deloitte as Mitie auditor

8m Emma Smith, Managing Editor
CVR Global appoints partner in London office

Company News CVR Global appoints partner in London office

1y Alia Shoaib, Reporter
FTSE100 failing to provide adequate ethics information

Company News FTSE100 failing to provide adequate ethics information

1y Alia Shoaib, Reporter
Moore Stephens recruits new private client partner

Accounting Firms Moore Stephens recruits new private client partner

1y Emma Smith, Managing Editor
Magma Group announces merger, partner promotions

Accounting Firms Magma Group announces merger, partner promotions

1y Emma Smith, Managing Editor
BDO on ‘recruitment spree’ with multiple partner appointments

Accounting Firms BDO on ‘recruitment spree’ with multiple partner appointments

1y Emma Smith, Managing Editor
Brand strength leads to fee income growth for RSM

Accounting Firms Brand strength leads to fee income growth for RSM

1y Emma Smith, Managing Editor