Northern Rock bill costing taxpayer 'twice national primary school budget'

The Northern Rock crisis is costing the taxpayer the equivalent of twice the country's primary school budget, it was claimed yesterday.

Acting Liberal Democrat leader Vince Cable said the Government's initial £25billion bail-out was growing by £1billion a week.

He accused the Treasury of leaving itself open to "blackmail" by hedge fund shareholders who were threatening to block any sale of Northern Rock unless yet more public money was poured into it.

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U.S. Banks Brace for Storm Surge as Dollar and Credit System Reel

By now, you’ve probably seen the photos of the angry customers queued up outside of Northern Rock Bank waiting to withdraw their money. This is the first big run on a British bank in over a century. It’s lost an eighth of its deposits in three days. The pictures are headline news in the U.K. but have been stuck on the back pages of U.S. newspapers. The reason for this is obvious. The same Force 5 economic-hurricane that just touched ground in Great Britain is headed for America and gaining strength on the way.

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Northern Rock: 'One in 10 chance of property crash'

The Northern Rock crisis will spread to the housing market, with a "one-in-10 chance" of a 1990s-style price crash, a leading property expert warned
Northern Rock: Queues melt away but mistrust remains



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