New governor Mark Carney may find his housing budget tight amid Hyde Park flats worth £65m fetching £190k a month in rent

A semi in Richmond? A two-bed flat across the road from the Ritz? Or just a houseboat five miles down the river from the Bank of England? Whatever the case, the new governor from Canada will find that his £250,000 annual housing allowance stretches far less in London than in Ottawa.

After tax, the allowance will give Mark Carney, the incoming Bank of England governor, a monthly rent limit of a little more than £10,000 a month. But while this might be an eye-watering sum for most people, in the capital's super-heated property market, the Carneys will be excluded from many of the city's most exclusive addresses.

His allowance falls a long way short of the most expensive rental now on the London market – a penthouse flat in Knightsbridge, with an extraordinary asking price of £216,667 a month.

The estate agency Foxtons describes the property as having six bedrooms and "striking views" over Hyde Park, but Carney would have to raid the Bank's gold reserves to stand any chance of crossing its threshold.

Neither will the Carneys be rubbing shoulders with the financial speculators and billionaires who have bought into One Hyde Park, the complex opposite Harrods which offers flats fetching upwards of £65m.

Savills has a five-bed flat in this block but the asking price is £195,000 a month.

It is a far cry way from Rockcliffe Park, Ottawa, one of Canada's most exclusive addresses and home to the Carney family when he was governor of the country's central bank. Stately mock-Georgian mansions in that area sell for around C$3m (£1.8m), a sum that would not stretch to a four-bed flat in Bethnal Green in London's East End. Foxtons is selling that "spacious warehouse conversion" convenient for Hoxton station, for £1.85m.

The Carneys might have to content themselves with Dulwich Village, one-time home of the former Bank of England governor Eddie George. Properties available there include a five-bed mock Georgian house going for £8,500 a month rental on the estate where Margaret Thatcher once bought a home.

Patrick Collinson © 2012 Guardian News and Media Limited or its affiliated companies. All rights reserved. | Use of this content is subject to our Terms & Conditions | More Feeds



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