THE coalition is under mounting pressure to return Northern Rock to its building society roots from its own MPs.

Seven Liberal Democrat MPs – including the two from the North East – and two Conservatives have backed a Parliamentary motion on the issue tabled by a close ally of Ed Miliband.

The motion drawn up by Labour MP Chuka Umunna, a member of the Commons Treasury Committee, demands the coalition launch a feasibility study into remutualising the Rock and seek further advice on such a move.

A total of 44 MPs have signed the motion, which also says mutual societies democratic structures empower customers.

It also declares they have a strong record of customer satisfaction and community links.

Labour leader Ed Miliband also last week praised the campaign to return Northern Rock to its building society roots in an interview with The Journal, saying it was ‘a good option’ that should be looked at ‘very, very hard’.

The developments come after Mr Umunna challenged Treasury Minister Mark Hoban about the Government’s position on remutualising Northern Rock during a recent Treasury Committee session.

Mr Hoban has responsibility for UK Financial Investments (UKFI), the Government agency overseeing taxpayers’ holdings in banks like Northern Rock.