Bank of England's Carney steps up as Brexit crisis engulfs UK

Wed Jul 6, 2016 12:44pm EDT
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article | Single Page
[-] Text [+]

* Central bank governor sent prompt message on economy

* Canadian's response contrasts with political inaction

* More measures expected soon from BoE

By William Schomberg

LONDON, July 6 (Reuters) - As Britain struggles with political chaos following its vote to leave the European Union, central bank governor Mark Carney has stepped into the breach to manage the economic fallout.

His response to the outcome of the June 23 referendum, starting with a televised address barely an hour after the final result was declared, contrasts with that of finance minister George Osborne, who did not appear publicly for three days.

With sterling and stock markets plunging as the "Leave" campaign headed for victory, Carney had arrived at the Bank at around 4 a.m. to prepare to tell the country that the economy was well prepared for the turmoil ahead.

It was the first of three interventions aimed at calming investors and reassuring companies and households that the economy was in safe hands, even after Prime Minister David Cameron announced his resignation in the wake of his referendum defeat, leaving the government in limbo.

"The governor of the Bank of England, once again, is offering clear leadership and boosting business confidence at a time of political and economic uncertainty," the head of the British Chambers of Commerce, Adam Marshall, said.   Continued...