CUSTOMERS continued to form long queues outside Northern Rock branches across the region today as savers ignored pleas for calm.
Long lines formed even before counters opened as worried customers sought to withdraw money despite reassurances from the bank over the safety of their savings.
In Darlngton, concerned customers formed a long queue outside Northern Rock's town centre branch.
Sharon Gilligan from Darlington, who was in the queue, said she was not sure what to do and would take advice from counter staff.
She said: "I am obviously very worried. I spoke to my financial adviser and he told me to withdraw my money so it is safe, because nothing is guaranteed."
Some experts are now suggesting that as a brand name Northern Rock is doomed, predicting that it will disappear from the High Street within a year.
Customers are believed to have already withdrawn about £1bn in savings since the news on Thursday evening that Northern Rock had sought emergency funding from the Bank of England.
The UK's fifth largest lender had been struggling with cashflow problems following a drying up of the money market - a process in which banks lend to each other.
But the decision by the Bank of England to bail out Northern Rock with emergency funding has provoked panic among some of its 1.5 million savers.
Despite reassurances that their money is safe, many have raced to remove their cash from the beleaguered bank.
The quesues of customers were replicated outside branches all over the country today.
Customer Jane Taylor, queueing outside the Kingston-upon-Thames branch, told Sky News today: "Yes, we are making matters worse but I do think people need some reassurance from Northern Rock and the Government and financial services that their money is safe."
Northern Rock put on extra staff today to accommodate the surge of customers arriving at branches.
Financial expert Justin Urquhart Stewart, of Seven Investment Management, said customers should not panic.
He said Northern Rock was no Barings Bank and that it had huge assets and the Bank of England behind it.
"It is not in anyones interest for it to go bust. But despite that some individuals are saying I;m going to take the money out," he said.
Mr Urquhart Stewart added that as a High Street name, Northern Rock would be gone within 12 months, such was the impact of the crisis on its brand.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereComments are closed on this article