UK expected to name next BoE deputy governor on Tuesday - source

By David Milliken

LONDON (Reuters) - Britain's finance ministry is set to name a new Bank of England deputy governor for monetary policy to replace Charlie Bean on Tuesday, a source familiar with the appointments process said.

BoE Governor Mark Carney is due to give a speech at 1805 GMT on Tuesday announcing wide-ranging changes to the Bank's organisation, including details of a separate new post of deputy governor responsible for markets and banking.

"The Treasury is likely to announce the new deputy governor for monetary policy before Mr Carney's speech," the source said.

The ministry has advertised for a successor to Bean, who retires on June 30.

The BoE's chief economist, Spencer Dale, has long been the favourite to succeed Bean, according to bookmakers Paddy Power.

But late on Monday Lucrezia Reichlin - a professor at London Business School who formerly headed the European Central Bank's research department - overtook Dale, with her odds shortening markedly to 11/8 - a probability of eight in 19 - from 6/1 earlier in the day. Dale's odds lengthened to 15/8.

Recent senior appointments at the Bank, including that of Carney himself, have not gone to BoE insiders, and Carney is also keen to have more women in senior positions at the BoE. There are currently none on the nine-member Monetary Policy Committee that sets interest rates.

The Bank declined to comment on when the appointment would be announced or on possible candidates.

(Editing by William Schomberg and Kevin Liffey)