Back deal to boost economy, says Bank chief

The Governor of the Bank of england last night threw his weight behind Boris Johnson’s Brexit deal ahead of the crucial vote by MPs.

In a significant intervention, Mark Carney predicted the British economy could be the first to pull out of the global slowdown if the deal is voted through.

he also said an agreement would be better for the economy than crashing out of the european Union with no deal.

‘The UK may have led the world into this slowdown with trade uncertainty and may be leading the world out of it,’ Mr Carney said in an interview at the International Monetary Fund in Washington.

‘It is good news that there is an agreement and the consequences of that will be a new economic relationship with the eU.

‘The alternative is a No Deal and an entrenched uncertainty,’ he warned

Previously the Canadian, who is due to leave office at the end of January, has been criticised by Brexit supporters for being too negative. But last night he threw his authority behind the new deal.

he said Brexit uncertainty had already led to a 25 per cent in decline in business investment, but expected ‘investment to rebound’ and the ‘economy to pick up at a subdued pace’ if the deal was approved.

Mr Carney’s intervention came as pro-eU business leaders said Mr Johnson’s deal was preferable to crashing out without a deal.

Lord Stuart Rose, chair of Ocado and former chair of the Remain campaign, said: ‘It’s the best deal we’ll get, and certainly it’s better than a hard Brexit. We’ve got to move on and put aside our differences.’

helen Dickinson, chief executive at the British Retail Consortium, said: ‘We are encouraged by the news of a potential agreement that could once and for all take No Deal off the table. every passing day represents additional time and money which could be better spent improving customer experience and delivering the best possible value for shoppers.’