Carney a ‘dark horse appointment’, says Capital Economics

Mark Carney 480

Mark Carney has been described as a “dark horse appointment” as governor of the Bank of England by Capital Economics, and has warned of new and big challenges ahead.

Chief UK economist Vicky Redwood says the Bank of Canada governor is “well-qualified” to take to manage the Bank of England and its expanded role after Mervyn King steps down.

She says: “The appointment appears to have been widely welcomed in the UK. Indeed, in the run-up to the decision, many commentators had said that it was a shame that he was not an option as he fitted the desired bill so well.

“Most notably, Mr Carney has a wide range of experience in the economic and financial worlds.”

However, Redwood warns that Carney does not have the experience of regulating the financial sector on a day-to-day basis.

She adds: “We obviously have not got a lot to go on when it comes to the new governor’s views on the current UK situation.”