Lloyds Banking Group and RBS shares rise on FTSE 100 following improved Northern Rock results

Northern Rock, which was nationalised during the crisis, said its losses for 2009 fell to £258 million, down substantially from the loss of £1.36 billion reported in 2008.

Following the news shares in banks that were partly nationalised grew the strongest. Lloyds Banking Group and RBS were bailed out by the taxpayer and are owned 41 per cent and 84 per cent by the government respectively. HSBC and Barclays were able to survive without relying on the British taxpayer

By 1:22 shares in Lloyds Banking Group were up 1.69 per cent to 54.08 pence per share and RBS shares increased 2.47 per cent to 39.90 pence per share. HSBC shares increased 0.06 per cent to 701.55 pence per share while Barclays proved the exception to the rises with shares down 1.29 per cent to 341.35 pence per share.