The Northern Rock shareholders dispute has entered its final day of appeal, with Jonathan Sumption QC replacing Lord Grabiner QC for the Government throughout the appeal process.

The three-day trial, which kicked off earlier this week (10 June) in the Court of Appeal, sees more than 150,000 private shareholders appealing a February decision which scuppered the shareholders' attempts to secure improved compensation following the nationalisation of the lender.

The appeal, which is being held before Master of the Rolls Sir Anthony Clarke, Lord Justice Waller and Lord Justice Laws, has seen Brick Court Chambers heavyweight Jonathan Sumption QC taking the lead role for the Commissioner of HM Treasury, replacing Lord Grabiner, who acted as counsel in the original case.

Sumption has been instructed by Slaughter and May – the law firm representing the Treasury, as Grabiner is in the middle of a 12-week case involving Cable & Wireless and Digicel.

Clive Lewis QC of 11 King's Bench Walk is acting as counsel alongside Sumption.

The shareholders are not challenging the bank's nationalisation, but are claiming that the criteria established for the valuation process breached the European Convention on Human Rights.

They claim that the Government's compensation scheme in the wake of the nationalisation left the value of their shares at virtually zero, whereas Northern Rock's book value before the February 2008 rescue was at least £4 per share.

David Greene, head of litigation at UK group action specialist Edwin Coe, advised the largest group in the action, the UK Shareholders Association (UKSA), which comprises 150,000 shareholders who held almost 25% of the bank's shares. Blackstone Chambers' Thomas de la Mare has been instructed as counsel.

White & Case is representing activist hedge fund SRM Global Fund, which acquired an 11.5% stake in the bank and joined the UKSA in the judicial review. Litigation partner John Reynolds led the team, with Blackstone's David Pannick QC and Maitland Chambers' Matthew Collings QC instructed as counsel.

RAB Special Situations Fund was represented by Nabarro, with Blackstone Chambers Michael Beloff QC and One Essex Court's David Wolfson instructed as counsel.