Bail-in plan to rescue Co-op's bank

Press Association

A rescue of the Co-operative's troubled banking arm has been launched in a move that will see investors help fill a £1.5 billion hole in its balance sheet.

No taxpayers' money will be involved in the plan, with bondholders forced to take losses on their investment as part of a "bail-in" due to happen in October. They will be offered shares in the banking arm, a move which will result in a stock market listing for the UK's biggest mutual.%VIRTUAL-SkimlinksPromo%