Rock raises lender of last resort issue for EU

One important aspect of the Northern Rock crisis in the UK has been to make market participants wonder what would happen if a similar-sized institution got into difficulties in a small or medium-sized EU member state.

Some of these countries are home to banks of similar size to Northern Rock but proportionately much larger in relation to their GNP and state budget than Northern Rock is for the British economy and budget. The UK Treasury might have to swallow a big hit eventually when Northern

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