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Written question asked by Lord Mann (Labour) on Thursday, 31 March 2011, in the House of Commons. It was due for an answer on Tuesday, 5 April 2011. It was answered by Mark Hoban (Conservative) on Tuesday, 5 April 2011 on behalf of the Treasury.

Financial Institutions

Question
To ask the Chancellor of the Exchequer what plans he has to sell the Government's stake in (a) Northern Rock, (b) Bradford and Bingley, (c) RBS and (d) Lloyds TSB Bank.
Answer

UK Financial Investments (UKFI) manages the Government's shareholding in Bradford & Bingley plc; Northern Rock Asset Management plc; Northern Rock plc; Lloyds Banking Group; and the Royal Bank of Scotland on an arm's length and commercial basis.In October 2010 UKFI integrated Northern Rock (Asset Management) plc and Bradford & Bingley plc under a single holding company UK Asset Resolutions (UKAR) which is committed to an orderly wind down of both banks' closed mortgage books.In relation to Northern Rock plc; Lloyds Banking Group; and the Royal Bank of Scotland UKFI's remit is to devise and execute a strategy for disposing of the Government's investments in an orderly and active way, in line with its overarching objective to create and protect value for the taxpayer as shareholder.Because any decision needs to be taken in the context of changing economic and market conditions, UKFI do not think that it is possible or desirable to state hard goals such as time that would drive the sale of the Government's shareholdings. But circumstances under which UKFI are likely to be able to sell shares are likely to be those in which the economy—and investor confidence—is recovering and in which bank share prices are firm.

Secondary information

Type
Written question
Reference
51320; 526 c892W
Session
2010-12
Subjects
Banks Finance
Link
View this Written question on www.publications.parliament.uk