AAP Finance

Carney stays at Bank of England until 2020

By AAP Newswire

The Bank of England's Mark Carney has agreed to extend his period as governor until January 2020 in order to help oversee Britain's exit from the European Union.

Tuesday's announcement from the UK government and the bank was widely expected after Carney told MPs last week that he was "willing" to extend his period at the helm beyond the June 2019 end date.

Britain is due to leave the EU in March 2019 but there is uncertainty as to how it will leave. The decision by Carney to agree to stay for longer helps reduce one of the uncertainties surrounding Brexit.

"I recognise that during this critical period, it is important that everyone does everything they can to support a smooth and successful Brexit," Carney said in a statement.

"Accordingly, I am willing to do whatever I can in order to promote both a successful Brexit and an effective transition at the Bank of England and I can confirm that I would be honoured to extend my term to January 2020."

Carney, who is Canadian and is reportedly interested in returning to politics back home, won plaudits for helping to calm financial markets in the wake of Britain's vote in June 2016 to leave the EU.