News story

Bradford and Bingley assets to be sold

Sale process underway to recover £15.65 billion from Bradford and Bingley assets for UK taxpayers.

The sale of further mortgage assets that government holds from Bradford and Bingley has been launched by UK Asset Resolution Limited (UKAR), the Chancellor has confirmed today (25 October 2016).

First announced at the Budget in March 2016, the programme of sales is designed to raise sufficient proceeds for Bradford and Bingley to repay the £15.65 billion debt to the Financial Services Compensation Scheme and, in turn, the corresponding loan from the Treasury.

A consortium of the UK’s biggest banks is lined up to provide financing to support the sale as required. The sales process is expected to conclude before the end of 2017 to 18, subject to market conditions and ensuring value for money.

The Chancellor of the Exchequer, Philip Hammond said:

As part of our plan to recover all of the cash British taxpayers injected into the banking sector during the financial crisis, we have begun the process of selling our Bradford and Bingley assets.

This is one of my top priorities as Chancellor and that is why I approved UKAR to begin this process. I am determined to do everything I can to ensure that taxpayers get their money back.

All proceeds will be used to reduce the national debt.

Published 25 October 2016