No matter how they try to spin this one, Gordon Brown and the keystone cops running the UK just f*cked up big-time.
I hope this serves as a lesson to the US, UK and all other countries about to experience bank failures:
LET THE MARKET CLEAN UP ITS OWN MESS AND GET THE HELL OUT OF THE WAY.
Because their government panicked, the UK taxpayers now own a bottomless pit in Northern Rock, already out over $100 billion in loans that likely won't get paid back. The Labor Party says all is fine, but it's not. Loans backed by falling real estate are turds and will become even bigger turds. Just ask the FHLB in a few months in the US.
The Northern Rock bank is to be nationalised, according to reports.
The taxpayer has leant the bank around £55bn in recent months since it first ran into trouble last year.