STAFF at Northern Rock's so called "bad bank" are facing an uncertain future after being told its Newcastle site is set to close within 18 months.

Although the majority of Northern Rock Asset Management (NRAM) employees will be offered alternative roles by UK Asset Resolution (UKAR), which oversees Government controlled banking assets, the state owned organisation admitted there were likely to be job losses amongst the 724 staff.

UKAR, which as well as NRAM is responsible for the nationalised arm of Bradford & Bingley, said it was to focus its work from offices at Doxford in Sunderland and Crossflatts in Bingley, west Yorkshire.

The majority of alternative roles offered to Newcastle based staff are expected to be at Doxford, 18 miles away.