How will National Rock – as it is inevitably being dubbed – operate now that it is officially under government control? In an environment in which every stumble may be used as political ammunition, new executive chairman Ron Sandler may find that even carrying out the normal activities of a bank, such as repossessing homes when customers default, could leave him open to attacks from opposition MPs.

People close to the situation expect Mr Sandler to implement a conservative business plan designed to shrink the bank, in an attempt to silence accusations that Northern Rock is profiting from its government guarantee. If it were to offer mortgage or savings deals to customers, it could distort the competitive landscape – barred under European Union state aid rules.