King refuses raise as specter of pay restraint looms over UK

LONDON - Bank of England Governor Mervyn King, the highest-paid among the world's top central bankers last year, refused a raise for this year and 2011 as an era of wage restraint looms to curb Britain's record budget deficit.

"In relation to 2010 and 2011 the governor has advised the remuneration committee that he does not wish to receive any increase in his salary," the central bank's annual report said. King took a 2.5 percent raise to 305,368 pounds ($445,318) including benefits on July 1 2009, according to the document published on the bank's website.

King already refused a revamped salary package when he was reappointed in 2008 which would have increased his basic pay to at least 375,000 pounds. His compensation currently exceeds that of the highest-earning UK government officials and is more than double the 142,500 pounds Prime Minister David Cameron receives, according to a list of salaries released on June 1.