This announcement safeguards over 2,000 jobs, the total number of branches is set to remain with the prospect of more branches opening further down the line. This deal will create a business with over four million customers and a nationwide network of branches that offers a range of services. The new banking group brings more competition to the high street and offers customers greater choice. It represents a powerful new presence on the high street to challenge existing banking rivals that will enhance competition and choice for the public.
Local Conservative spokesperson, Karen Jewers said that the Northern Rock deal represents “good value for money for taxpayers across the country; it safeguards thousands of jobs right here in Newcastle and sends a powerful signal to businesses that the North East is open for business. In the run up to Christmas, when the economy is suffering the consequences of economic uncertainty in Europe, this deal secures the future of thousands of jobs and rules out job losses. It represents the only real deal that promised no compulsory redundancies.
I welcome the deal but will miss the history and community and charity emphasis that Northern Rock brought into Newcastle. I hope that the new deal, and the Virgin Money Group, will bring something more to the table than securing jobs. I hope that Sir Richard Branson’s group will renew that charitable emphasis that Northern Rock gave back to the community.”