An urgent rescue of Scotland’s largest and oldest building society appears imminent after Westminster and Holyrood ministers vowed to save yet another failing financial institution.

The Government is thought to be preparing a £60m bail-out of the Dunfermline Building Society, which is said to be on the brink of announcing a loss of £26m.

Its problems stem from exposure to bad loans in the commercial property market, and some estimates have suggested that a write-down in the value of the business could make its losses nearer £90m.

Daily Telegraph