Today’s confirmation of Carney’s salary means he stands to earn 57 per cent more than current Governor Mervyn King, who is reportedly on an annual salary of £305,000.
A statement from the non-executive directors of the Bank of England has today confirmed Carney will also receive a cash allowance in lieu of pension of 30 per cent of salary.
The directors have also confirmed their support for an annual accommodation allowance of £250,000. This will be subject to tax at 45 per cent.
Carney will additionally serve a reduced term as Governor. Instead of the full eight years Governors have previously been required to serve, Carney’s term will run to just five.