Bank of Canada governor Mark Carney will succeed Sir Mervyn King as Bank of England governor when he steps down next June.
Carney has been Bank of Canada governor since February 2008 and also serves as chairman of the Financial Stability Board. He also worked for 13 years with Goldman Sachs, and acted as senior associate deputy minister of finance before becoming Bank of Canada governor.
He has a bachelor’s degree in economics from Harvard University, and a masters and a doctorate in economics from Oxford University.
For the first time in history the job of governor was publicly advertised with the Treasury looking for a candidate with experience of working in a central bank or similar institution, or at a senior level in a major bank or financial institution.
All shortlisted candidates went through a rigorous interview process chaired by permanent secretary to the Treasury Sir Nicholas Macpherson. The frontrunners included deputy governor for financial stability Paul Tucker, FSA chairman Lord Adair Turner, former cabinet secretary Sir Gus O’Donnell and economist Sir John Vickers.
The new governor will have responsibility for financial stability, monetary policy and financial regulation when sweeping reforms come into force next April.
The Financial Conduct Authority and Prudential Regulation Authority will come directly under the remit of the new boss.
Chancellor George Osborne says: “Mark Carney is the outstanding candidate to be governor of the Bank of England and help steer Britain through these difficult economic times. He has done a brilliant job for the Canadian economy as its central bank governor, avoiding big bail outs and securing growth.
“Along with its central role in monetary policy, this Government has put the Bank of England back in charge of regulating our financial system so that we do not repeat the mistakes of the last decade. Mark Carney is the perfect candidate to take charge of the Bank as it takes on these vital new responsibilities. He will bring strong leadership and a fresh new perspective.”
Carney plans to serve as Bank governor for five years.
Bank deputy governor for monetary stability Charlie Bean has also agreed to stay on for an extra year from 1 July 2013 to help with the transition to a new governor and powers.