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Banking (special provisions) bill

Monday, 25, Feb 2008 12:00

The government has rushed its nationalisation of high street lender Northern Rock through parliament in the banking (special provisions) bill.

It empowered chancellor Alistair Darling to order the nationalisation, which resulted in all shares in the lender being handed to the Treasury solicitor by February 23rd – just five days after the bill's first reading.

At one stage on February 21st a confrontation between the Lords and Commons looked possible.

The Lords defeated the government on three amendments calling for extra safeguards. They rejected its exemption from freedom of information, called for an independent audit and reports on its impact on competition in the financial sector.

When the bill returned to the Commons the government overturned the amendments and – after the Lords agreed to back down – the bill received its royal assent later that evening.

February 22nd: Northern Rock nationalization complete

First and second reading, committee and report stages (Commons): February 19th 2008

First and second reading (Lords): February 20th 2008

Committee and report stages, third reading (Lords): February 21st 2008

Ping pong and royal assent: February 21st 2008


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