'Monumental failure' if Northern Rock is nationalised

British Conservative party leader David Cameron warned today it would be a “monumental failure” if Northern Rock was nationalised as the Government came under fresh pressure to secure the stricken bank’s future.

Mr Cameron said it “would not be right” for the taxpayer to take charge of the troubled bank and become responsible for billions of pounds in mortgages.

His comments opposed the view of the Liberal Democrats after acting leader Vince Cable said nationalising the stricken lender was the “least worst option”.

Northern Rock chairman Bryan Sanderson yesterday admitted the bank’s fate would not be sealed until after Christmas, sparking concerns over hopes to secure a private sector future for the group.

Mr Cameron told the BBC Radio 4 Today programme: “What we want is a private sale, but I suspect that the Government is running out of time and running out of money and it may well be that they need to go down the path of nationalisation.

“If it does it will be a monumental failure.”