Northern Rock is likely to be split by the end of the year into a “good bank”, BankCo, which can be sold off, and a “bad bank” the assets of which will be wound down. "We have what we believe is a viable bank [with Northern Rock], which can be sold with private investment coming back in. The remaining assets, they’re not all bad, some of them, you know. If we could take commercial property for example, it may not be worth that much today, but in time it will come back" Mr Darling said. Owners of existing retail banks, such as HSBC, will not be allowed to bid for the new banks in an attempt to encourage more competition. Full Article at Times Online