Northern Rock plc is being sold to Virgin Money for £747m, plus a potential future £280m. Whereas it cost the taxpayer £1,400m to get it into its current state. George Osborne says that this "represents value for money".
I don't know whether or not this is a good trade for the British Government. But "value for money" means you spent money on something and got something at least as valuable to you in return. I think that £1,027m or less is not as valuable as £1,400m.
Let's hope that it's Osborne's English rather than his arithmetic that's failed him.