The lender could make the new high loan-to-value mortgage available from today, as it seeks to boost revenue ahead of a return to private ownership, reported the Financial Times.

The bank’s risky policies, offering borrowers up to 125% of the property’s value contributed to the financial crisis. Since then, it has capped its loans to a maximum of 85%.

It is expected to limit the amount of funds it makes available for 90% deals. Rates could start at just below 6% and the deals will initially be made available direct and through network Sesame, but will be rotated to all broker networks in time, according to a spokesperson.

Northern Rock received £3bn in taxpayers’ cash in 2007. It has since had to hold high levels of liquid assets for protection against another run on it.