Branson Defends Bid For Northern Rock

Jan 20 2008 By Bruce Walker

VIRGIN boss Sir Richard Branson yesterday said his bid for troubled Northern Rock bank was "the best on the table".

His comment came as it was revealed Prime Minister Gordon Brown wants to turn massive Treasury loans propping up the bank into bonds.

The Government-backed bonds - worth billions - would be sold off in packages to international investors every few months. There would also be Government cash for any private buyer.

Branson was yesterday with Brown on his two-day visit to China. Branson said: "I believe it's the best option because we would rebrand it the Virgin Bank, which is a very strong brand.

"We have got the best capitalisation plan and a great management team."

The Northern Rock Small Shareholders Group welcomed the bonds proposal. But Lib Dem Treasury spokesman Vince Cable said: "It looks at first sight that the taxpayer is being shafted."

Brown yesterday visited Beijing's Olympic Stadium and Shanghai.

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