Bank of England  

Bank governor Carney to extend term until June 2019

Bank governor Carney to extend term until June 2019

Governor Mark Carney has promised to extend his term as governor of the Bank of England to the end of June 2019 in a letter to chancellor Philip Hammond. 

In a letter dated 31 October 2016, the governor said he would be "honoured" to extend his time of service as governor for an additional year to the end of June 2019.

He said: "By taking my term in office beyond the expected period of the Article 50 process, this should help contribute to securing an orderly transition to the UK's new relationship with Europe.

Article continues after advert

"It is an honour and a privilege to serve in this important role. I deeply appreciate your support, that of the prime minister, and that of colleagues at the Bank [of England], and I look forward to continuing to promote the good of the people of the United Kingdom during this crucial time for the country.”

In a response to the letter the chancellor said he was "pleased" to hear Mr Carney continued to intend as the governor of the Bank of England over this period.

"This will enable you to continue your highly effective leadership of the Bank through a critical period for the British economy as we negotiate our exit from the European Union.”

Andrew Tyrie, chairman of the Treasury Select Committee, said this much needed clarification was welcome, and the less uncertainty the better.

"Still, the Treasury Committee concluded in November 2011 that a non-renewable term of 8 years for the post of governor was appropriate. 

"The government agreed, and changed the law in the Financial Services Act 2012, in line with the recommendation.  In making this announcement, the government and the governor are sticking neither to the timetable set out in the exchange of letters, nor returning to the statute. 

"More uncertainty needs to be avoided.  So the decision requires a good deal of examination and explanation, which the Committee will seek when it next sees the governor in a fortnight."