Even though the Virgin Group's consortium has been publically named as the bank's preferred bidder, reports have suggested that the Treasury would like to see further bids laid on the table in the hopes of generating more cash.
These fresh implications have however been denied by a treasury spokesperson, according to the BBC.
The latest buzz surrounding the ailing lender follow speculation that Virgin is being pushed by its advisers Deutsche Bank, Citigroup and Royal Bank of Scotland - the former reportedly the most concerned - to reconsider its initial offer over fears it is too weak.
Alongside Luqman Arnold who is pushing ahead with a fresh bid after his proposal for a 15 per cent stake last week was rejected, Northern Rock's largest shareholder SRM Global is said to be putting together its own proposal.
