4.4 billion into the financial system

The future of Mervyn King as Governor of the Bank of England was being openly questioned last night after the bungled handling of the Northern Rock crisis. Pressure grew as the Bank was forced to pump £4.4 billion into the financial system to head off a meltdown. The decision amounted to a major U-turn for the Bank and Mr King, who had previously been reluctant to put more money into the market.