Andrew Bailey, the Governor of the Bank of England, is not accustomed to emotional outbursts or direct criticism.
Being measured in your public comments is part of the job description of running a central bank, and Mr Bailey has been at it since succeeding Mark Carney in 2020.
(To understand the odds of the job, consider the change in the Canadian’s public persona since he turned Threadneedle Street into his country’s premiership).
Epstein’s latest files have undermined the claims made by Andrew regarding his photo.
So it seemed important that Mr. Bailey speak with controlled anger—even with emotion—when Sky News asked his reaction to the revelation that Peter Mandelson was sharing market-sensitive information with Jeffrey Epstein while he was business secretary in 2008.
“I mean, I’m shocked by what we’re hearing. I’m shocked by what we know now about what happened during the financial crisis.”
That context matters.
In 2008, Mr Bailey was part of the Bank’s senior management fighting alongside the Treasury and Downing Street to prevent the collapse of the financial system.
There was a real possibility that the cash points would run out, and governments would be unable to raise the borrowing needed to bail them out.
In Britain, ministers and officials considered selling £20bn of state-owned assets to ease the burden, while in Europe, the EU was working on a €500m (£435m) rescue package.
‘Mandelson will bring down the Prime Minister unless he acts.’
According to the revelations of the Epstein files, Mr. Mandelson allegedly gave both details to Epstein via email before they became public.
No wonder Mr Bailey, the man sitting in the front row of the play, looked angry.
There was also a personal edge to his comments.
He became emotional as he recalled the role of the late Alistair Darling, the then Chancellor, in getting the economy back on track and is now “unable to speak for himself” about the revelation that a close aide was undermining him.
The governor’s reaction may also be explained by the fact that he is one of the few people in the British institutional establishment who has direct experience of challenging Epstein’s circle over their ties to the paedophile financier.
For further information, visit Sky News.
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In 2019, as head of the Financial Conduct Authority (FCA), he approved the investigation of Barclays’ US chief executive Jess Staley over his ties to Epstein.
Following Epstein’s arrest, the FCA became suspicious that Mr Staley was not honest about the extent of their relationship.
Mr Staley was forced to resign in 2020, subsequently banned from holding senior executive positions in financial services, and lost an appeal last year in which Andrew Bailey gave evidence.
“I don’t want to sound self-righteous, but this is for all of us—how can we live in a society where this happened and was coveredup?” he asked.
In Epstein’s tragic tale of the British monarchy, politics and city pollution, he is among a tiny group of those whose conduct has been completely vindicated.
