As much as £3.6bn of shares in HBOS could be offloaded on to the stock market from Monday after the flop of the bank’s ill-fated rights issue.

HBOS will reveal before the market opens that fewer than 10 per cent of the 1.5bn shares available in the £4bn rights issue were purchased by its shareholders. Only the directors of the company, plus a smattering of retail shareholders and some institutional investors took up their rights to the new stock.