Government puts Northern Rock up for sale

Chancellor George Osborne has confirmed that Northern Rock is up for sale .

In his Mansion House speech last night, Osborne said the bank will be returned to privatisation rather than remutualised or floated on the stock market, in the interest of delivering the best value for the taxpayer.

According to reports, the bank is expected to be sold for around £1bn.

Osborne says any interested parties can bid for the lender, including mutuals.