Brexit fears over Carney successor

FINDING a replacement for Mark Carney is more difficult because some candidates are being put off by the idea of being dragged into the Brexit turmoil, the Chancellor has said.

Philip Hammond said the selection process to find a successor for the Canadian as governor of the Bank of England is ‘getting under way’, but that some were wary of putting their hat in the ring because they did not want to be thrown into the middle of toxic political rows.

‘Obviously I would have preferred to have the Brexit issue resolved before we started the process,’ Hammond said.

He said some of those who would normally put their names forward might be ‘deterred from an application because of the political debate around Brexit which inevitably the governor cannot avoid being part of.’

He said: ‘There may be some candidates who wouldn’t want to be exposed to that level of political debate.’

Hammond ruled out the possibility that Carney would stay on for longer to see the economy through a stormy Brexit process.

Favourites include Andrew Bailey, chief executive of City regulator the Financial Conduct Authority, though his chances may have been harmed by recent scandals.

Insiders at the Bank with a chance of the top job include deputy governor Sir Jon Cunliffe and chief economist Andy Haldane.

Others in the running are Raghuram Rajan, the former governor of the Indian Central Bank, and Shriti Vadera, chairman of Santander UK, who if chosen would be the first female governor.