Business

Chancellor launches hunt for next Bank of England boss

The search for the next Governor of the Bank of England has been launched to replace Mark Carney when he stands down next January

THE search has been launched to find a replacement for Mark Carney as the next Governor of the Bank of England when he stands down next January.

Chancellor Philip Hammond praised Mr Carney's "steady hand" in the role and said it was "vital" to find the right successor to ensure the ongoing strength of the economy.

Mr Carney took up the post on July 1 2013 and will step down on January 31 next year, having extended his tenure twice.

But Brexit, a slowing economy and a crumbling Government in complete chaos are just some of the challenges a new man or woman will face.

The Treasury will employ a specialist head hunter and said the recruitment process has been designed to ensure the "most qualified candidate is appointed from the broadest possible pool of applicants".

It expects to hold interviews over the summer, with the appointment being made in the autumn.

The next Governor will be paid £480,000 a year - a salary that has remained at this level throughout Mr Carney's tenure.

In the job description for the role, the Treasury said it welcomes candidates "irrespective of age, gender, ethnicity, sexual orientation or disability".

Candidates must be able to commit to an eight-year term, it added.

Among those in the running is Andrew Bailey, a bank veteran and current head of the Financial Conduct Authority, who is seen as a safe pair of hands.

He was previously deputy governor for Prudential Regulation and chief executive of the Prudential Regulation Authority. The Englishman has also worked at the Bank as chief cashier and head of the special resolution unit. Other roles include governor's private secretary.

Others in the running should include Andrew Haldane, who started his career at Threadneedle Street in 1989, and currently serves as chief economist.

As well as being a member of the Monetary Policy Committee, he also chairs the Government's Industrial Strategy Council. With degrees in economics from Sheffield and Warwick universities, he would be one of the few Britons vying for the role who did not attend an Oxbridge institution.

Among the other potential candidates are Raghuram Rajan, ex-governor of the Reserve Bank of India; Shriti Vadera, the Ugandan-born chairwoman of Santander UK; Minouche Shafik, the Bank's deputy governor of markets and banking between 2014 and 2017; and Sharon White, who has headed communications watchdog Ofcom since 2015.

Mr Hammond paid tribute to Mr Carney's leadership. He said: "His steady hand has helped steer the UK economy through a challenging period and we are now seeing stable, low inflation and the fastest wage growth in over a decade.

"And under Mark's leadership the Bank of England has been at the forefront of reforms to make our financial system safer and more accountable."

Mr Carney said in 2016 that he would stay for an extra year after his tenure ended - until June 2018 - but was then persuaded by Mr Hammond to extend his term by another seven months to help ease disruption from Brexit at a critical time.

But the Canadian's time at the helm has been marred over the past two years, with the Governor and the Bank's Monetary Policy Committee (MPC) coming under heavy criticism over their handling of communications surrounding Brexit.

In particular, the Bank's doomsday scenario report on Brexit led to accusations of collusion with the Government and "implausible" forecasts.

Former MPC member David "Danny" Blanchflower recently said Mr Carney was leaving a "poisoned chalice" for his successor, claiming the role had become too politicised.

He said he believed Mr Hammond would struggle to find candidates to replace Mr Carney.

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