When Northern Rock first unveiled its rescue by the Bank of England, the widespread assumption was that the mortgage lender would quickly be sold. Ten days on, however, it is becoming increasingly clear that many of the most likely buyers are sitting on the sidelines. As a result, Northern Rock may have to consider some less attractive options for its future.

Almost everyone involved in the Northern Rock saga would prefer a sale. For the bank’s shareholders, a deal might salvage some value from a troubled investment. For the Bank of England and the Financial Services Authority, it would remove an embarrassing regulatory mistake from public view. Depositors would have the comfort of knowing their savings were in the hands of a more stable institution.