Mark Carney to stay at Bank of England until 2019, sparking relief and disappointment – as it happened

  • Duncan Weldon, head of research at Resolution Group, suggests Mark Carney has played the game rather well….
  • Adam Marshall, Director General of the British Chambers of Commerce (BCC), is pleased that Mark Carney has decided his future.
  • Sorrell: Carney may be hurt by unjustified criticism
  • Tyrie: Carney has a lot of explaining to do….
  • Andrew Tyrie, the influential chair of parliament’s Treasury Committee, is determined to find out why Mark Carney is only going to serve a six year term.

Bank of England governor will stay on for an extra 12 months to provide stability after Britain triggers Article 50

@StephenPKendal: City gripped by speculation over Mark Carney’s future at Bank of England..!! #BoE #BLOCKCHAIN

My sense is that if [Carney] is going to stay to 2019 he needs to find a way to row in behind the Prime Minister and start to find a way to be a bit more positive.

I would like him to stay and do a good job, and demonstrate some enthusiasm for leaving the EU, seeing as we are going to.

”Businesses want stability at a time of economic change, particularly at key institutions like the Bank of England.

Firms will be reassured that the recent speculation over the timing and nature of Mark Carney’s departure has been put to rest. However, the Governor will still be leaving at a sensitive time for the economy – so businesses will want to see a clear and ordered transition plan.”

“The prime minister welcomes the governor’s decision to stay on beyond his initial five-year term.

The much needed clarification is welcome. 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.

Sir Martin Sorrell, head of advertising giant WPP, is disappointed that Carney won’t stay on until 2021.

Sorrell told Sky News that “one year is better than nothing… but it’s disappointing that he won’t serve its full term.”

“Maybe he was a little bit bruised by the criticism, I think unjustified criticism, that he’s been subjected to,” Sorrell said.

Mark Carney to stay at Bank of England until 2019, sparking relief and disappointment – as it happened