Virgin Money completes Northern Rock acquisition

by Aaron Strutt

Jan 06 2012

Virgin Money's agreement with HM Treasury to buy the entire issued capital of Northern Rock is now complete. The sale could be worth more than £1 billion.

The acquisition includes 75 Northern Rock branches, one million customers, a mortgage book worth approximately £14 billion, a retail deposit book worth approximately £16 billion and 2,100 employees.

Northern Rock for Intermediaries broker support team now answer the telephone as Virgin Money - and they have been unveiled as Newcastle United's new team sponsor.

Virgin Money bank is also thought to be planning compulsory charges of about £60 a year for new current account customers, in return  they may get discounts if they use Virgin's gyms, internet and other services. Northern Rocks existing 118,000 current account customers are not expected to be forced to switch to paid bank accounts.

6 January 2012