BoE meets CoE: Mark Carney defends the Bank of England’s referendum judgement again and stands up for ethical financial services with the Archbishop of Canterbury
The governor of the Bank of England Mark Carney has defended the Bank’s role in the EU referendum debate, while saying he is determined to move forward and shape a financial sector fit for a changing Britain.
Some pro-Leave campaigners questioned the Bank’s motives when it warned of financial damage if the UK voted to leave the European Union, but Carney rejected those accusations, saying the Bank’s actions helped support the real economy.
He said: “The role the bank played is to identify potential risks around the referendum and then take a number of step to mitigate those risks.”
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In a rare joint interview for the BBC with Justin Welby, the Archbishop of Canterbury, the governor of the Bank of England Mark Carney has addressed the role of belief in the financial markets.
Carney was noted by as one of Britain’s most influential Catholics by The Tablet magazine, and was recently seen on the London Underground reading the archbishop’s book on ethics and finance, Dethroning Mammon.
the northern line was more focused on monetary policy (h/t @emmaeforrest ) pic.twitter.com/hfFf6wv9WW
— Alex Clifford (@alexmarkcliff) November 23, 2016
While defending the role of finance in the economy, Carney noted the importance of ethical engagement in the implications for the real economy from financial services.
He said: “When the only reference is finance… it may be profitable for a while but it tends not to be profitable in the end.”
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Serving the real economy is the “ultimate issue of the purpose of finance”, Carney said.
The effect of financial services on post-Brexit Britain would be a central part of his role as governor over the coming years, Carney said.
“This is about moving forward and determining what type of financial sector is consistent with the government’s objective to have a global Britain, an open Britain.”
Meanwhile the archbishop said he is “not in the slightest bit pessimistic” about the UK’s prospects after Brexit, as long as the country remains “outward-looking” with an “inspiring and challenging vision” of the future.