Economy

Carney still expected to leave Bank of England in 2019

Reports say his tenure may be extended

Bank of England governor Mark Carney. His tenure has been unorthodox from the start.

Mon Sep 3 2018 - 14:15

Bank of England Governor Mark Carney is still expected to leave the central bank in 2019, according to a UK government spokesman.

“The governor has said that he intends to step down in 2019. That is still the plan,” spokesman James Slack told reporters in London. Asked if the government would like him stay, he said “the prime minister thinks the governor has done a good job.”

The BBC reported on Monday that Mr Carney is in talks with the UK treasury about staying in the role beyond his planned departure date of June next year amid concern that trying to find a new governor in the midst of Brexit negotiations would be difficult. The 53-year-old Canadian had signalled that he may be open to extending his tenure at the central bank, according to a report by the Financial Times published on Sunday.

A BOE spokesman declined to comment. Mr Carney will likely be asked about his plans when he appears before Treasury Committee MPs in London on Tuesday.

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Clarify position

Questions about Mr Carney's future emerged last week after the Evening Standard newspaper reported that he had been approached to lengthen his term by an additional year to provide further continuity after Britain leaves the European Union in March. While the UK treasury last week denied it, saying it didn't recognise the reporting, it prompted calls for the governor to clarify his position.

Mr Carney’s tenure has been unorthodox from the start. He was appointed to the role in late 2012 after previously saying he wasn’t interested in the job, but initially said he would serve just five years of what is usually an eight-year term. Following Britain’s 2016 Brexit vote, he agreed to remain in place an additional year to the end of June 2019, to help steer the BOE through the negotiations.

– Bloomberg

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