Andrew Bailey

Andrew Bailey Set to Succeed Mr. Carney as BOE’s Governor from End of Q1-2020

Andrew Bailey
Bank of England

Bank of England, one of the world’s major central banks recently announced in a statement that its current Governor Mr. Mark Carney will be succeeded by former BOE deputy Governor Mr. Andrew Bailey. The move was made public by the head of Her Majesty’s Treasury – Mr. Sajid Javid post confirmation from Her Majesty the Queen.

As per the statement released by the central bank, Mr. Carney – the current governor has agreed to extend his term until 15th March 2020 in order to ensure a smooth transition while Mr. Bailey’s term effectively begins on 16th March 2020.

The incoming Governor is a veteran with vast experience built over the course of three decades of service in both the central bank and several other major financial bodies such as FCA and PRA. Post taking up his new role, Mr. Bailey will become the 121st Governor for the bank in its 325-year-long history and 9th person to take up the role since the bank’s nationalisation in 1946.

The move was first made public in 3rd June 2019 when The London Times reported that Bailey was the top favourite to replace Mr. Carney’s new Governor of the Bank of England but was subject to approval of Her Majesty the Queen back then. 

In order to be selected as the Head of Bank of England, a candidate has to be nominated as per the Government’s Principles of Public Appointments and Governance Code, as overseen by the Office for the Commissioner for Public Appointments. In simpler words, a candidate has to be nominated by The Chancellor of Her Majesty’s Treasury and recommended to Prime Minister of England who will then write to the Queen for approval of the said candidate. The choice for Mr. Bailey to succeed Mr. Carney mainly comes from the fact that he was responsible for much of the central bank’s work on bank resolution and supervision following the crisis faced by the UK during 2007-9.

Mr. Bailey is a well known and well-respected figure in the UK’s financial regulatory and oversight circles given his leadership and contribution towards the development of new regulatory frameworks and supporting financial innovations to better serve UK houses and businesses. While he has served the better part of his career as part of the UK’s central bank, he has also served in several other major financial regulatory and monitoring bodies such as Financial Conduct Authority, Prudential Regulatory Authority, financial stability board and the international organisation of securities commission. 

Mr. Javid who revealed the appointment of the new BOE Governor said, “When we launched this process, we said we were looking for a leader of international standing with expertise across monetary, economic and regulatory matters. In Andrew Bailey that is who we have appointed. Andrew was the stand-out candidate in a competitive field. He is the right person to lead the Bank as we forge a new future outside the EU and level-up opportunity across the country. I also want to take this opportunity to thank Mark Carney for his service as Governor. The intellect, rigour and leadership he brought to the role during a critical time was a significant contribution to the UK economy moving to recovery and growth”. 

Commenting on appointment of his successor, Mr. Carney stated that he is delighted to welcome Andrew Bailey back to the Bank as its next Governor and added “An extraordinary public servant, Andrew brings unparalleled experience, built over three decades of dedicated service across all policy areas of the Bank, and most recently as CEO of the FCA. Andrew is widely and deeply respected for his leadership managing the financial crisis, developing the new regulatory frameworks, and supporting financial innovation to better serve UK households and businesses. Over the years, I benefited greatly from his support and wise counsel.  I wish Andrew and the Bank continued success in their work to serve the people of the United Kingdom by maintaining monetary and financial stability”.

 Speaking about his new role Mr. Bailey said, “It is a tremendous honour to be chosen as Governor of the Bank of England and to have the opportunity to serve the people of the United Kingdom, particularly at such a critical time for the nation as we leave the European Union. The Bank has a very important job and, as Governor, I will continue the work that Mark Carney has done to ensure that it has the public interest at the heart of everything it does. It is important to me that the Bank continues to work for the public by maintaining monetary and financial stability and ensuring that financial institutions are safe and sound. I am committed to the Bank being an accessible and approachable institution, as well as an open and diverse place to work. I would like to pay tribute to my colleagues at the Financial Conduct Authority for their support during my time as Chief Executive and the excellent work they do”.

Source: 

https://www.bankofengland.co.uk/news/2019/december/andrew-bailey-announced-as-new-governor-of-the-boe