Abbey National record first annual loss

BRITAIN'S second biggest mortgage lender Abbey National, targeted last year recently by Bank of Ireland, slumped to its first annual loss of €1.447 (Stg£984m) in a massive reversal of fortunes.

Bank of Ireland tried to buy Abbey last year and was rebuffed. Analysts said figures showed that the bank went chasing the deal "with its pants down" and should be thanking its lucky stars it went no further than the initial approach."

Bank of Ireland wanted Abbey on board to resolve its seriously under performing Bristol & West which it bought in the UK back in 1997 and which has been dragging the group down ever since.