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Northern Rock reveals £724m loss

Nationalised bank Northern Rock has reported a half-year loss of £724.2m.

The company also said the share of its mortgages in arrears had risen to 3.92% by 30 June, from 3.67% three months before.

Northern Rock - which was taken into public ownership in February 2008 - said it incurred an impairment charge on its loans of £602.2 million and expected that figure to be similar in the second half.

The lender said the number of properties repossessed by the end of June were 2,522, compared with 3,620 at the end of 2008.

Chief executive Gary Hoffman said the lender might continue to see a small increase in the three-month arrears rate, but added that the share increases were slowing.

This was posted in Bdaily's Members' News section by Ruth Mitchell .