Northern Rock is a British bank. It experienced this summer what Chris Giles, Economics Editor of the Financial Times, calls "the first mass run on an English bank since 1866." (FT.com: Oct 25, 2007)
Northern Rock had a peculiar business model: In Mr. Giles' words, the Bank of England characterized Northern Rock "with its dependence on securitisation, the concentration of its asset base in mortgages and the narrowness of its margins - [as] an outlier in British banking."
Where was the lender of last resort? "The Bank [of England] now acknowledges that officials did partly fumble the lender of last resort operation for Northern Rock.
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