The Economic Crisis: Policy Responses
The Government's first strategy was to seek a 'Private sector solution', hoping that another bank would buy NRB. How the Government would proceed in resolving NRB's future was first set out in a statement by the Chancellor on 19 November. By January 2008 however, the Government had to admit defeat: in the author statements the Chancellor set out the future financial restructuring and ownership options for the bank. The author begins by stating that to date, there had been no cost to the taxpayer of existing government support for the bank; all existing guarantees, for savers and funding, would continue; the Government continued to favour a private sector solution but had not ruled out a period of nationalisation; putting the bank into administration had been rejected.