Andrew Bailey will replace Mark Carney and become the next Governor of the Bank of England (BoE). He will make the switch just as the UK is leaving the European bloc on January 31 and is facing a transition period for trade talks.
Conservative Sajid Javid, who is Chancellor of the
Exchequer, said
that Bailey was “the standout candidate
in a competitive field.”
“Without question,
he’s the right person to lead the bank as we forge a new future outside the EU,”
he added.
Bailey, who is currently the chief of the Financial Conduct Authority (FCA), was Deputy Governor of the Bank of England from 2013 to 2016. However, he was never a member of the central bank’s Monetary Policy Committee (MPC), meaning that his behavior in regards to monetary policy couldn’t be analyzed.
For several days, there were rumors that Minouche Shafik would
take the role. The former deputy governor would have become the first woman to
lead the BoE in its 325-year history. Some economists criticized Javid’s
choice, saying that the government ignored gender diversity at the central
bank.
Bailey will have to deal with a struggling economy. Production
in the UK has declined or stagnated for the past three months, demonstrating
the worst results in over 10 years. Nevertheless, the executive had previously proved
that he could handle challenging situations.