16 MAY 1992, Page 23


Good evening, Governor. Evening, Archbishop.

How's your stipend? All right, thanks


Iwonder what the Archbishop of Canter- bury will say to the Governor of the Bank of England when they next meet — on some state occasion, or in the lavatory of the Athenaeum. The Archbishop has been preaching against high salary increases in hard times. Next week the Bank's report and accounts will disclose Robin Leigh- Pemberton's salary as Governor. It made headlines a year ago, going up by £24,000, or 18 per cent, to £155,000. There was a row, as the Treasury had warned that there would be. (Treasury salaries stop short of six figures.) All the same, I expect to see another increase in the Bank's top salaries, the Governor's included. The Bank will argue, with one eye on the Archbishop and the other on the Treasury, that it is a bank and not a government department, that it must compete to recruit and retain the best specialists, and that its salary structure must accommodate them. This time round, recruiting may go all the way to the top.