Regulation  

Bank of England in leadership shake up

The Chancellor of the Exchequer announced that Mr Fisher will be replaced on the MPC by International Monetary Fund deputy managing director Nemat Shafik who will also assume the newly created post of deputy governor for markets and banking on 1 August.

She will be the second ever woman to become deputy governor at the Bank and will be responsible for “reshaping operations” and “ensuring robust risk management practices” as well as leading the design and execution of an eventual exit from quantitative easing by the MPC.

Former Goldman Sachs banker Ben Broadbent meanwhile will take over from Mr Bean and become deputy governor for monetary policy.

Article continues after advert

He will have specific responsibility for the Bank’s research and analysis of the UK economy and will sit on the Bank’s court of directors, MPC and the Financial Policy Committee.

Anthony Habgood, former chairman of Whitbread and Bunzl, will take over as chairman of court at the Bank, replacing Sir David Lees after 1 July.

The Chancellor has written to Andrew Tyrie to inform the Treasury Select Committee of the appointments.

Mr Osborne said: “I am delighted to announce the appointment of three such highly qualified and experienced people to join the Bank’s already excellent executive team.”

Mark Carney, governor of the Bank, added: “With a diverse combination of skills and experience, these appointments result in a well-rounded senior management team at the Bank – one that will set the direction for an ambitious agenda of transformation for the institution and enable it to meet the challenges and opportunities it faces in maintaining monetary and financial stability.”

Last week Mr Carney and other Bank officials faced MPs at a Treasury select committee hearing where the strength of its internal governance was called into question.

David Gibson, director of County London Derry-based Gibson Financial Planning, said: “If the Bank has been questioned over governance then anything it can do to strenghthen its leadership has to be a good thing.”