Bank Governor Mark Carney 'set to remain in his post'

Bank of England Governor Mark Carney is ready to serve his full eight year term defying pro-Brexit campaigners demanding his resignation, it has been reported.

Mr Carney has told friends that he is likely to make an announcement on his future this week, according to the Financial Times.

The governor - who was expected to speak first to Prime Minister Theresa May and Chancellor Philip Hammond before making a final decision - was said to be "leaning strongly" towards remaining in his post.

The report comes amid mounting speculation he was preparing to stand down early amid bitter criticism by Brexit supporters of his conduct during the EU referendum campaign.

Critics have complained he went too far in warning of the economic dangers of leaving the EU in order to bolster the Remain campaign.

The relatively robust performance of the economy since the country voted for Brexit has encouraged prominent Conservatives including back-bencher Jacob Rees-Mogg and former chancellor Lord Lawson to demand he should go.

When he took up the post in 2013, it was agreed that Canadian Mr Carney would serve an initial five-year term with the option of another three years.

The growing controversy around his position led to speculation that he would go in 2018 rather than continue to 2021.

Earlier Mr Carney received warm support from Business Secretary Greg Clark who praised his performance since becoming governor, while adding that it was "clearly a decision for him" whether he carried on.

"Mark Carney has done a tremendous job, a fantastic job during his tenure there. It's clearly a decision for him," he told BBC1's The Andrew Marr Show.

"I was the Financial Secretary to the Treasury when he was appointed and I think it was a brilliant appointment."