The Bank has created the new post of deputy governor for markets and banking, to sit alongside the deputy governors for financial stability, monetary policy, and the deputy governor in charge of the PRA. It has appointed Nemat “Minouche” Shafik, deputy managing director of the IMF, to fill the new post from August 1.
Shafik is supposed to “provide greater focus at the very top of the Bank on [markets and banking]” and will join the board of the Prudential Regulatory Authority, the Financial Policy Committee, and the Monetary Policy Committee, the only person other than Mark Carney and Sir Jon Cunliffe, deputy governor for financial stability, to sit on all three main policy committees.
Other tasks she will cover include being the Bank’s representative at the G7, the BIS, the IMF and overseas central banks, as well as shaping the Bank’s eventual exit from QE. She will also implement reforms to the Sterling Monetary Framework, and complete a comprehensive review of the Bank’s market intelligence function.
Andy Haldane, at present executive director for financial supervision, will become chief economist, while Paul Fisher, now executive director for markets, will become executive director for specialist supervision and regulatory operations, within the Prudential Regulatory Authority (the supervisory function in the Bank which formerly sat within the Financial Services Authority).
Megan Butler, who has worked for the FSA and Bank since 2000, becomes executive director for international banks supervision in the new structure.
Other senior appointments include a new chairman of court, Anthony Habgood, and Ben Broadbent as deputy governor for monetary policy.
Habgood’s role on the court includes chairing the oversight committee to review all aspects of the conduct of the Bank executive. He has been chairman of Whitbread, Reed Elsevier, Preqin Holding, and been a non-exec at Geest, M&S, NatWest, Powergen and SVG Capital.
Broadbent replaces Charlie Bean, who is retiring. He has been an external member of the Bank’s monetary policy committee since 2011, and was senior European economist at Goldman Sachs before that.
The changes follow a six-month review by McKinsey. It comes with a new mission statement and 15 “core initiatives”.