Northern Rock 'bad bank' pays back another £1bn

The group formed from Northern Rock and Bradford & Bingley’s toxic loans has paid back another £1bn in taxpayer cash this year after ramping up its debt repayments.

Northern Rock Asset Management (NRAM) – split from the “good” part of nationalised Northern Rock in January – repaid £700m in the past three months alone after returning to profit in the first half.