Since the summer, shares in any UK bank with a business model even slightly resembling that of Northern Rock have been pummelled. Two of the biggest, Alliance & Leicester and Bradford & Bingley, released trading statements on Thursday, hoping to allay fears that they would be the next victims of the credit squeeze. For now, investors seem relieved – the stock price of A&L jumped 8 per cent.

The issues not to worry about are certainly clearer. A&L’s writedown of mezzanine and capital notes, as well as asset-backed securities, was small, totalling just £55m. Fair value of its collateralised debt obligation assets fell by just £110m. B&B had no substantial writedowns to report. More important, funding for both lenders looks secure through next year. And underlying earnings growth, asset quality and costs are more or less in line with expectations.