HISTORIC PRESS RELEASE : New Second Permanent Secretary at the Treasury, Nicholas Stern [June 2003]

The press release issued by HM Treasury on 12 June 2003.

Professor Nicholas Stern is to be the new Second Permanent Secretary and Managing Director, Budget and Public Finance, the Treasury announced today.

Professor Stern will take over from Sir Robert Culpin, who is retiring in the autumn, and will also replace Gus O’Donnell, the Treasury’s Permanent Secretary, as head of the Government Economic Service.  The appointment will take effect from 29 September 2003.

Nick Stern, 57, has been Chief Economist and Senior Vice President at the World Bank, Washington D.C. since July 2000.  From 1994 until late 1999 he was Chief Economist and Special Counsellor to the President at the European Bank for Reconstruction and Development (EBRD).

Chancellor of the Exchequer, Gordon Brown said:

“I am delighted to welcome Nick Stern to the Treasury as Second Permanent Secretary.  Nick is a first class economist with a global reputation and enormous experience.  He will be a huge asset to the Treasury and Government economic policymaking”.

Gus O’Donnell, Permanent Secretary to the Treasury, said:

“Nick is one of the world’s leading economists.  He has an outstanding track record in both the academic world and in front line economic policymaking and delivery at the World Bank and the EBRD.  That someone of his calibre has chosen to come here is a tribute to the Treasury and its reputation.”

World Bank President Jim Wolfensohn commented:

“While we will miss Nick, we also recognize that this is a tremendous honour and opportunity for him. He has made an outstanding contribution to the work of the Bank over the last three years that we, and all our stakeholders, appreciate.

“Amongst other things, he has played a key role in helping us to develop the Bank’s strategic framework, and to maintain our focus on poverty in all its dimensions. He has also been an effective advocate on issues of economic growth and trade.”

Prior to 1994, Professor Stern’s career was mostly in academic life. After starting his teaching career at Oxford, he went on to hold chairs at the London School of Economics and Warwick (he is at present on leave from the LSE).  He has taught and researched at the Massachusetts Institute of Technology, and in France, India, China and Japan and at the International Monetary Fund.  His books include works on public finance, tax reform, the theory of economic growth, and the role of the state.