Darling to stake billions on second bail-out in UK

UK chancellor Alistair Darling will today stake hundreds of billions of pounds of taxpayers’ money on a second bank bail-out in a bid to free up “blocked” credit markets and head off a worsening recession.

It is understood that he will set out plans for the UK government to underwrite the so-called “toxic assets” held by the banks in an effort to restore shaken confidence in the sector while releasing more funds for lending.