Welcome
8 December 2011
The Independent Valuer was appointed in September 2008 to determine the amount of any compensation payable by HM Treasury to former shareholders of Northern Rock and to those whose rights to receive shares were extinguished when Northern Rock was transferred into temporary public ownership.
Having applied the valuation assumptions that he was required by law to apply, the Independent Valuer determined that there was no value in the shares (or right to receive shares) as at the valuation date and therefore that no compensation is payable to former shareholders (and to those whose rights to receive shares have been extinguished).
Any affected party who was dissatisfied by the Independent Valuer’s determination could refer the matter to the Upper Tribunal for appeal.
On 6 October 2011, the Upper Tribunal delivered its ruling and concluded that the Independent Valuer was correct in his interpretation of the statutory provisions, that his application of them to the facts was reasonable and professional, and that the nil valuation should stand.
The full decision of the Upper Tribunal, including a comprehensive summary is available here to download.
On 28 October 2011, the Upper Tribunal granted the former shareholders who had brought claims in the Upper Tribunal permission to appeal its ruling on the correct interpretation of the Withdrawal Assumption. The Upper Tribunal refused permission to appeal in relation to any other issues. An application has been made to the Court of Appeal for permission to deal with other issues before the Court of Appeal, namely the extent of the Upper Tribunal’s jurisdiction and related matters.
This is not a Northern Rock website. Northern Rock plc is not responsible for nor has it approved the content of this website. This website is owned by BDO LLP. Its purpose is to provide information to former shareholders and other interested parties regarding the work of the independent valuer under the Northern Rock Compensation Scheme.