More than 40,000 borrowers are in line to receive thousands of pounds in compensation following a High Court ruling over the wording of documents sent out by British lender Northern Rock.

An American private equity group is considering a £1bn (€1.13bn) bid for UK nationalised lender Northern Rock, it was reported today.

The state-owned UK company that runs nationalised Northern Rock Asset Management and Bradford & Bingley today said both companies returned to profit last year.

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.