SCHEDULES

SCHEDULE 3 Monetary Policy Committee

Section 13.

Terms of office of appointed members

1

Appointment as a member of the Committee under section 13(2)(b) or (c) shall be for a period of 3 years, F5but this is subject to paragraph 2B.

F62

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F12A

A person may not be appointed as a member of the Committee under section 13(2)(c) more than twice.

F162B

1

If it appears to the Chancellor of the Exchequer that in the circumstances it is desirable to do so, the Chancellor may, before the end of the 3 years for which a person is appointed as a member of the Committee under section 13(2)(c), extend the persons's term of office on one occasion for a specified period of not more than 6 months.

2

The term being extended may be the person's first or second term.

3

If a person whose first term of office is extended is subsequently re-appointed under section 13(2)(c)—

a

the length of the second term is to be reduced by a period equal to the extension of the first term, but

b

the second term may itself subsequently be extended under sub-paragraph (1).

3

F71

A person appointed under section 13(2)(b) or (c) may resign his office by written notice to the Bank.

F82

Where the notice relates to a person appointed under section 13(2)(c), the Bank must give a copy of the notice to the Treasury.

4

F91

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F102

The terms and conditions on which a person holds office as a member of the Committee appointed under section 13(2)(c) are to be such as the Oversight Committee may determine.

F113

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Qualification for appointment

5

A person is disqualified for appointment under section 13(2)(b) or (c) if—

a

he is a Minister of the Crown, or a person serving in a government department in employment in respect of which remuneration is payable out of money provided by Parliament, or

b

he is a member of the court of directors of the Bank.

F175A

A member of the Financial Policy Committee of the Bank appointed under section 9B(1)(e) is disqualified for appointment under section 13(2)(c).

6

The fact that a person has held office under section 13(2)(b) or (c) does not disqualify him for further appointment to such office F2(subject to paragraph 2A).

Removal of appointed members

7

A person appointed under section 13(2)(b) or (c) shall vacate office if he becomes a person to whom paragraph 5(a) or (b) applies.

8

A person appointed under section 13(2)(b) shall vacate office if he ceases to have executive responsibility within the Bank for monetary policy analysis or, as the case may be, monetary policy operations.

9

1

The F4Oversight Committee may, with the consent of the Chancellor of the Exchequer, remove a member appointed under section 13(2)(b) or (c) if it is satisfied—

a

that he has been absent from the F12meetings of the Monetary Policy Committee for more than 3 months without F12that Committee's consent,

b

that he has become bankrupt F3, that a debt relief order (under Part 7A of the Insolvency Act 1986) has been made in respect of him, that his estate has been sequestrated or that he has made an arrangement with or granted a trust deed for his creditors, or

c

that he is unable or unfit to discharge his functions as a member.

F132

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Meetings

10

1

The Committee shall meet at least once a month.

2

The Governor of the Bank (or in his absence the Deputy Governor of the Bank F14... for monetary policy) may summon a meeting at any time on giving such notice as in his judgment the circumstances may require.

Proceedings

11

1

At a meeting of the Committee, the proceedings shall be regulated as follows.

2

The quorum shall be 6, of whom 2 must hold office as Governor or Deputy Governor of the Bank.

3

The chair shall be taken by the Governor of the Bank or, if he is not present, the Deputy Governor of the Bank F15... for monetary policy.

4

Decisions shall be taken by a vote of all those members present at the meeting.

5

In the event of a tie, the chairman shall have a second casting vote.

6

Subject to sub-paragraphs (2) to (5), the Committee shall determine its own procedure.

12

The Committee may, in relation to sub-paragraph (2), (3) or (4) of paragraph 11, determine circumstances in which a member who is not present at, but is in communication with, a meeting, is to be treated for the purposes of that sub-paragraph as present at it.

13

A representative of the Treasury may attend, and speak at, any meeting of the Committee.

F1813A

The Committee may invite other persons to attend, or to attend and speak at, any meeting of the Committee.

Report to court of directors of the Bank

14

The Committee shall submit a monthly report on its activities to the court of directors of the Bank.

Parliamentary disqualification

15

In Part III of Schedule 1 to the M1House of Commons Disqualification Act 1975 (other disqualifying offices), there is inserted at the appropriate place— “ Member of the Monetary Policy Committee of the Bank of England appointed under section 13(2)(b) or (c) of the Bank of England Act 1998. ”;

and a corresponding amendment is made in Part III of Schedule 1 to the M2Northern Ireland Assembly Disqualification Act 1975.