Northern Rock takes further £3bn from BoE this month - papers 19 Oct

Analysts believe the troubled lender will access at least another £5bn before the end of the year after the Bank revealed that Lloyds TSB had last month demanded £30bn to cover Northern Rock's obligations as a condition of a rescue takeover. Simon Ward, of New Star Asset Management, said: "The weekly increase of £3bn is up from £2.3bn and £2.9bn in the prior two weeks, indicating that Northern Rock's funding problems remain acute." Bankers believe customers have continued to withdraw savings since pulling out £3bn in just three days in the first run on a British bank in 150 years. It has ...