Carney confirms willingness to extend term at Bank

BoE governor Mark Carney
BoE governor Mark Carney

Bank of England Governor Mark Carney has confirmed he is in talks with the Treasury over extending his tenure as he pledged to do “whatever” he can to support the UK through Brexit.

In a hearing with the powerful Treasury Select Committee, Mr Carney told MPs he has discussed staying on past his current departure date of June 2019 with the Chancellor and expects an announcement in due course.

He said: “I fully recognise that during this critical period it’s important that everyone does everything they can to help with the transition to exiting the EU.

“Even though I have already agreed to extend my time to support a smooth Brexit, I am willing to do whatever else I can in order to promote both a smooth Brexit and effective transition at the Bank of England.”

His comments come after mounting press speculation that he is in negotiations to stay on until 2020.

The Canadian announced in late 2016 that he would stay in his role until the end of June 2019, opting against a full eight-year term. But that would mean he will be in the hot seat for just three months after Britain formally leaves the European Union in March, leaving a newcomer to navigate the aftermath of the divorce.

It is thought the increasing fears of a no-deal scenario have also increased the need for continuity at the top.

Mr Carney added: “It’s an important time and we have an important supporting role to make sure that, whatever Brexit the Government negotiates and Parliament decides, that it is as much of a success as possible and providing a measure of continuity during this period should help that.”

An advert seeking a replacement for Mr Carney had been expected to be posted by the end of September.

When questioned about the process to find a successor, Mr Carney said: “There are some advantages for that process to be run in the context of full knowledge both of the Government of the day and the applicants on the exact form of Brexit that the country has decided to take.”

Rumoured contenders to replace him have included Financial Conduct Authority CEO Andrew Bailey, as well as Minouche Shafik, a London School of Economics director and former Bank deputy governor.