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Financial Markets

My Lords, that is taking interference in the market a little further than the whole House may wish. It is a matter for the shareholders of Northern Rock, to whom the management is responsible, and not for government action. On whether Northern Rock should continue to trade, it is being charged a commercial fee from the public resources it receives, so it has no competitive advantage because of that. However, it is the responsibility of the authorities to seek a solution to the problem of Northern Rock as early as possible. Our intentions are clear. Of course, there are lessons to be learnt, which the Governor of the Bank of England made clear when he appeared before the Select Committee in another place. The Financial Services Authority also recognised that there were lessons to be learnt from this situation. We need to consult on this. The lessons may lead to legislative change. We will consult and ensure that we have a reasonable period of time for that consultation in order to draft appropriate legislation, but it should be recognised that the structure is secure. It has served this country for well over a decade. It is in position to effect the necessary corrective on this occasion. The risk to the taxpayer is severely limited. I refute the suggestion that taxpayers have been involved in any significant cost. I very much appreciate the contributions. I hope that the noble Baroness and the noble Lord will recognise that the Chancellor in his Statement hoped that, because this is an issue of considerable importance to Britain, our economy and financial stability, and to the role of London as a leading financial location in the world, we need to get the legislation right. We need to learn the correct answers to the problems that have arisen from these developments. I hope that we can look forward therefore to an all-party consensus on doing what is right to remedy the difficulties we have had in the recent past.