Northern Rock plc is a British bank, currently owned by the UK government. It is based at Regent Centre near Newcastle upon Tyne in North East England in the United Kingdom. Formerly the Northern Rock Building Society, the bank was formed in 1997 when the society floated on the London Stock Exchange, distributing shares to members who held savings accounts and mortgages. Northern Rock joined the stock exchange as a minor bank and was expected to be taken over by one of its larger rivals, but it has remained independent. In 2000, Northern Rock gained promotion to the FTSE 100 Index, but was demoted back to the FTSE 250 in December 2007 and later suspended from the LSE due to the bank's nationalisation.
On 14 September 2007, the Bank sought and received a liquidity support facility from the Bank of England, following problems in the credit markets caused by the US subprime mortgage financial crisis.
At 00:01 on 22 February 2008 the bank was nationalised. The nationalisation was a result of two unsuccessful bids to take over the bank, neither being able to fully commit to repayment of taxpayers' money. Northern Rock to be nationalised, BBC News, 17 February 2008 The government-appointed Chairman is Ron Sandler, who assumed the position on Monday 18 February. There are no plans to change the name of the bank.
