Mark Carney could quit his Bank of England role within DAYS after his ‘Project Fear’ predictions were repeatedly proven wrong

Mark Carney could quit his Bank of England role within DAYS after his ‘Project Fear’ predictions were repeatedly proven wrong

The Bank’s governor could step down as early as next week
He hinted in the House of Lords last week he was considering his future
A return to his native Canada could be on the cards for next year
Tory MP Jacob Rees-Mogg has been touted as a potential replacement

By PADDY DINHAM FOR MAILONLINE
PUBLISHED: 11:08, 29 October 2016 | UPDATED: 12:41, 29 October 2016

Mark Carney’s days as Governor of the Bank of England appear to be numbered amid rumours he could resign within days.

The Canadian – who has been a controversial figure since the Brexit vote as many of his ‘Project Fear’ predictions are yet to materialise – could elect to return to his homeland next year due to family reasons.

A decision will be made before the end of the year and could be announced at the Bank’s quarterly inflation report next Thursday.

Tory MP Jacob Rees-Mogg, a Treasury Select Committee member and one of Dr Carney’s most outspoken critics, has been touted as a potential replacement, according to Bloomberg.

Mr Rees-Mogg said earlier this month: ‘On every occasion he wants to talk down the economy and find doom and gloom, which doesn’t seem to me to be the job of the governor of the Bank of England.

‘He never seems to want to recognize the result of the referendum and get on with it. It looks like he is a sore loser.’

Just days ago, Dr Carney delivered a stark warning in the House of Lords that interfering with the independence of the Bank of England could send sterling into a fresh tailspin.

In an apparent dig at Theresa May, the governor said markets had ‘taken note’ when politicians criticised monetary policy in the past.

And he said ‘UK assets’ including the currency could fall again if there were suggestions that its autonomy was under threat.

When Mr Carney was appointed by George Osborne in 2013, he was handed a five-year contract with an option to serve out a full eight-year term if he wanted.

But the 51-year-old, who has four school-age children, said he was currently ‘reflecting’ on whether he wanted to carry on.

‘It is a privilege for me to have this role,’ he said.

‘Like everyone has personal circumstances that I have to manage. This is a role that requires total intention, devotion.

‘I intend to manage it for as long as I can.’

Last month, Margaret Thatcher’s former Chancellor Lord Lawson called on Dr Carney to stand down as Governor of the Bank of England last night after his ‘disgraceful’ conduct over Brexit.

The Conservative peer and former chancellor accused the Canadian of joining ‘the chorus of scaremongering’ during the EU referendum campaign.

He said the central bank chief is now ‘seeking to validate the improper remarks’ with fresh warnings about the economy – despite signs that Britain is booming.

Mr Carney was heavily criticised by Leave campaigners during the referendum campaign after he claimed a vote to leave the EU could trigger a fresh recession.

The Bank cut interest rates from 0.5 per cent to a new low of 0.25 per cent last month and launched a fresh round of money printing.

Mr Carney has since said the moves – which have clobbered savers and pension funds – have helped the economy to recover from the shock of the Brexit vote.

But Lord Lawson, a leading voice in the Leave campaign, agreed last night that the governor was a ‘doom-monger’ and called for him to stand down.

A raft of figures in recent weeks suggests the economy is holding up well since the Brexit vote on June 23.

The independent Office for National Statistics said ‘there are no signs of a sharp collapse in consumer confidence’, adding: ‘The referendum result appears, so far, not to have had a major effect on the UK economy.’

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