Bradford & Bingley mortgage sale raises £11.8bn

Image copyright PA

The government has sold buy-to-let mortgages belonging to failed lender Bradford & Bingley for £11.8bn.

Insurance firm Prudential and investment firm Blackstone have teamed up to buy the loans.

The government took on the mortgages of Bradford & Bingley after rescuing the lender in 2008.

UK Asset Resolution (UKAR), which has been handling the sale, says that terms and conditions for customers will not change.

The deal is one of the biggest asset sales by a European government.

"The sale of these Bradford & Bingley assets for £11.8bn marks another major milestone in our plan to get taxpayers' money back following the financial crisis," Chancellor Philip Hammond said in a statement.

"We are determined to return the financial assets we own to the private sector and today's sale is further proof of the confidence investors have in the UK economy."

BBC

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