StanChart boss bows out of governor race

David Hellier
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PETER Sands, the chief executive of Standard Chartered Bank, last night ruled himself out of the running for the job as the next governor of the Bank of England (BoE).

Sands issued a statement to City A.M. through a spokesman after this newspaper spoke to a number of people close to the banker.

Many had become convinced that he was lobbying hard for the Bank job. They suggested that Sands could come under pressure from his board if he were to let the uncertainty continue any longer.

A spokesman for Standard Chartered said: “Peter has made it clear that he is not interested in the Bank job.”

A source close to the bank added: “He has a great job here, this is a great company and he has a huge job in a growth company.”

His decision is a boost for Bank deputy governor Paul Tucker, who is seen by many as a favourite for the role, which will become vacant when incumbent Sir Mervyn King’s second term ends in June 2013.

Some of those who work closely with Sands say they first suspected his interest when he wrote an open letter last month in which he was savagely critical of a new Bank regulatory body that will oversee the City.

Sands’ letter triggered a debate over bank regulation that pitted him against Tucker. Those who suggested that Sands wanted the job said that he has been lobbying chancellor George Osborne, who has a major say in the decision, for some time. Last week, he was with Osborne again in India, and joined him at a dinner.