Financial Conduct Authority boss Andrew Bailey has been revealed as the next governor of the Bank of England to replace Mark Carney.
Bailey (pictured), who had been touted as a front runner from the start of the process, will take over on 16 March 2020.
He has been appointed for an eight-year term and will receive a salary of £495,000.
An interim chief executive of the FCA will be appointed well ahead of Bailey’s departure to manage the organisation until a permanent successor is chosen by HM Treasury.
Treasury searched for leader of international standing
Chancellor Sajid Javid described Bailey as a “stand-out candidate in a competitive field”.
Deputy governors Ben Broadbent and Jon Cunliffe and former governor of the Reserve Bank of India Raghuram Rajan were among other names floated as potential successors to Carney.
In September, former LGIM head of personal investing Helena Morrissey was revealed to have been interviewed for the role. She has since joined the board of St James’s Place.
Javid added: “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.”
Before joining the FCA in July 2016, Bailey was chief executive of the Prudential Regulation Authority and deputy governor of the Bank of England. He joined the Bank of England in 1985.
‘Critical time for the nation’
Javid described Bailey as the right person to lead the central bank as the UK exits the European Union.
Bailey said it was an honour to be picked as governor at such a “critical time for the nation”.
He said in a statement: “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.”
He would seek to lead an “accessible and approachable institution” and said he wanted the Bank of England to be a diverse place to work.
He also paid tribute to his colleagues at the FCA.
Mark Carney pays tribute to Andrew Bailey’s leadership
Carney said Bailey brought “unparalleled experience” to the role.
“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,” Carney said.
“Over the years, I benefited greatly from his support and wise counsel.”