Who could replace Carney to be the next BoE Governor?
He might be known as the ‘unreliable boyfriend’ of the banking world, but Canadian Bank of England (BoE) Governor Mark Carney has done his best to keep the British economy steady through Brexit, he even extended his term to help the transition. However, with a myriad of problems in UK politics and a Brexit extension underway, Carney’s due to step down from his role as central banker at the start of next year, leaving someone room to step up.
The new BoE Governor will be the leader when it comes to interest rates as well as supervising banking regulations, and the role comes with a £480,000 pay packet a year. But who’s up to the job and who would willingly take on Brexit? We take a look at some of the top candidates who might have put their hat in the ring before last week’s deadline.
Ben Broadbent is currently Deputy Governor for Monetary Policy at the Bank of England and is a renowned economist. His work portfolio includes time at Goldman Sachs and the Treasury. However, despite plenty of experience as an economist, his communication has landed him in trouble before. In 2018 he described the UK economy as ‘menopausal’, which saw him top the headlines before issuing an apology.
Andy Haldane is currently the BoE’s Chief Economist and a member of the Monetary Policy Committee (MPC). He’s also the leader of the Industrial Strategy Council and has authored plenty of books and articles in his career. He joined the Bank of England in 1989 and has degrees from Sheffield and Warwick.
Raghuram Rajan has some impressive credentials on his list, including being the former Chief Economist at the International Monetary Fund (IMF), as well as serving as the Reserve Bank of India (RBI) Governor. His experience as the RBI Governor amid political volatility might give him an added edge against some of the others in the running if he wanted the role. After hiring Canadian Carney last time around, the British Government needs to decide if it wants to bring in someone from overseas again or hire from within the UK.
Jon Cunliffe is the current BoE Deputy Governor for Financial Stability, following on from a role as a senior Treasury official. Whether he can lead the central bank is a question for the UK government, but as a member of the BoE’s most important committees, he has experience in the complete spectrum of the BoE’s work.
A former student of politics, philosophy, and economics, Shriti Vadera is currently the Chair of Santander UK. Shriti is a former business minister and has been said to have a fierce leadership style. She’s also renowned for her contribution to Britain’s response to the Global Financial Crisis (GFC) of 2008.
Minouche Shafik spent some time at the BoE as Deputy Governor for Banking and Markets, but tensions between her and Carney were evident. However, Shafik has proved her excellent management skills, with roles as a senior civil servant and Deputy Managing Director at the IMF.
Andrew Bailey is currently the Chief Executive of the Financial Conduct Authority (FCA) and is seen as a pretty safe bet when it comes to taking the central bank’s top spot. While he has lesser experience in monetary policy, his reputation for worldwide banking supervision and financial stability is second to none.
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