It would be a political embarrassment if a private bidder made a killing from rescuing Northern Rock and the UK government missed out on a share of the gains. But it would be possible to structure a deal to avoid this outcome – albeit at a cost.

The government has several stated aims in tackling the Northern Rock crisis and they do not include making a profit. It wants the Bank of England’s £20bn-plus emergency facility to be repaid as soon as possible. It also wants to see retail depositors protected and Northern Rock put on a stable footing so that it poses no risk to the financial system.