Liberal Party Names Mark Carney as New Trudeau Adviser

Prime Minister Justin Trudeau meets with then Bank of England governor Mark Carney at the G20 Summit in Buenos Aires, Argentina on Nov. 30, 2018. The Canadian Press/Sean Kilpatrick

Former Bank of Canada governor Mark Carney is joining the Liberal team to serve as adviser to Leader Justin Trudeau on economic growth.

“As Chair of the Leader’s Task Force on Economic Growth, Mark’s unique ideas and perspectives will play a vital role in shaping the next steps in our plan to continue to grow our economy and strengthen the middle class, and to urgently seize new opportunities for Canadian jobs and prosperity in a fast-changing world,” Prime Minister Justin Trudeau said in a statement.

The statement was released on Sept. 9 by the Liberal Party and not the Prime Minister’s Office (PMO).

The announcement was made as the Liberal caucus is meeting in Nanaimo, B.C., for its annual retreat, a few days before Parliament reconvenes after the summer break.

Carney is attending the retreat and was expected to address Liberal MPs on economic matters, The Canadian Press reported last week.

The Liberals are facing challenges ahead of the next planned election of October 2025. The party has been trailing the Conservatives in the polls by a large margin for an extended period of time and is reeling from a number of setbacks during the summer.

In late June, the Liberals lost a byelection to the Conservatives in a long-held Toronto riding, and last week the NDP pulled out of its agreement keeping the minority Liberals in power. A day after, the Liberal national campaign director tendered his resignation.

Carney’s entrance comes after years of courtship from Trudeau and months of speculation about his intentions to become the next Liberal Party leader.

After rumours circulated this summer suggesting some PMO staff wanted to replace Chrystia Freeland with Carney in finance, Trudeau said he had “full confidence” in Freeland, while confirming his interest to have Carney enter politics.

“I have been talking with Mark Carney for years now about getting him to join federal politics,” said Trudeau in July. “I think he would be an outstanding addition at a time when Canadians need good people to step up in politics.”

Carney has not denied being interested in eventually replacing Trudeau. He told the Globe and Mail last year “it’s not a decision that I need to take now.”

Carney served as the head of the Bank of Canada from 2008 to 2013, and then as the governor of the Bank of England from 2013 to 2020. He is currently the chair of Brookfield Asset Management and Head of Transition Investing and serves as the United Nations Special Envoy for Climate Change and Finance.

“The world is becoming more divided and dangerous, but the hard work of Canadians means we can manage these risks and seize the enormous opportunities in the new global economy,” Carney said in the release.

He added Liberals have “achieved real progress for all Canadians” and that a new growth plan can build the strongest economy in the G7.

The Liberal Party says Carney, as leader of the new task force, will consult with different stakeholders such as the business community and unions. Recommendations from the task force will be shared with Trudeau and the party’s platform committee to prepare for the next election.

The announcement of striking a party-level economic task force came a few days after the federal government said it was establishing a working group to examine low productivity and a stagnating standard of living.

Treasury Board President made the announcement during the Liberal cabinet retreat in Halifax in late August. She said Canada has “strong economic markers” but there’s “more work to do on GDP per capita, or productivity.”

GDP per capita has stagnated in Canada over the last ten years, currently standing at US$54,870. It used to be similar to the U.S., where it has now reached US$85,370.

Asked about Carney’s appointment as advisor to Trudeau, Tory House Leader Andrew Scheer said nothing would change.

“I believe that it’s just a smoke and mirrors gimmick,” Scheer told reporters in Nanaimo on Sept. 9.

Scheer said Carney supports the carbon tax and “loves the same policies that Justin Trudeau has imposed on Canadians. They’re basically the same people.”

Carney did not express strong support for the carbon tax when he testified before a Senate committee in May. “I think it served a purpose up until now,” he said. “I think one can always look for better solutions, and as a country, we should always be open to better solutions for that.”

Conservative MPs subsequently asked that Carney testify before the House of Commons finance committee to clarify his position.