In a letter to the Chancellor, David says: “My term on the MPC runs out on 31 May 2009.
“I am writing to inform you that I will not be seeking a renewal. My intention all along was to only serve a single term, having been given three years sabbatical leave from Dartmouth. I will, of course, complete my full term.
“I very much support the remit that the MPC has been given. It allows for the flexibility which is crucial in these tough times. I have much valued the independence given to me as an external member of the committee. It is crucial that membership of the MPC fully represents a broad range of views”.
In his reply the Chancellor says: “I would like to take this opportunity to thank you for your major contribution to the work of the committee since 2006.
“In these difficult times, it is important that we have people that energetically put forward expert and challenging analysis and views to help shape the debate.
“I hope that you will continue to make a significant contribution to the global economic debate in the years ahead.”
The position for an external MPC member will be advertised shortly, alongside a timetable for making the appointment, consistent with the new process for external MPC appointments announced by the Chancellor in June 2008.