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Bank of England’s Andrew Bailey named new FCA chief exec

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The Bank of England’s Andrew Bailey is to become the new head of the FCA.

Bailey will succeed Tracey McDermott, who has been interim chief exeuctive since Martin Wheatley stepped down in September.

Bailey will take up the position once a replacement has been found for him at the Prudential Regulation Authority, where he is chief executive. He has been handed a five-year term for the job.

Chancellor George Osborne says: “Andrew Bailey is the outstanding candidate to be the next chief executive of the FCA, and I am delighted that he has agreed to lead it.

“We have cast the net far and wide for this crucial appointment and, having led the Bank of England’s response to the financial crisis, Andrew is simply the most respected, most experienced and most qualified person in the world to do the job.

“His appointment is an important next step in the establishment of the FCA as a strong regulator, independent of government and industry.”

FCA chairman John Griffith-Jones says Bailey “brings unrivalled regulatory experience, a proven track record and an excellent reputation in the UK and internationally.

“Having been an FCA board member since 2013 he has been fully engaged with all the regulatory issues that we have faced in recent years and in setting our strategy for the future.”

The hunt for the new FCA chief executive has seen a number of front-runners named. Current interim chief executive McDermott ruled herself out of the race at the start of the year, saying it was not the right move for her.

Other names that had been in the running were Australian Securities and Investments Commission chairman Greg Medcraft and Swiss Financial Markets and Supervision Authority chief executive Mark Branson.

Treasury director general of financial services Charles Roxburgh has also been linked with the role, while former Ofcom chief executive Ed Richards was ruled out of the running yesterday.

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Comments

There are 14 comments at the moment, we would love to hear your opinion too.

  1. More proof, as if it were needed, that the Treasury played no part in dropping the FCA enquiry into corrupt bank practices. How opportune the co-incidence that the ex head of the PRA won’t have to investigate his chums.

  2. But we aren’t going soft on banks though

  3. Panic Panic Panic !!! get some bugger in there quick !! every-one we ask doesn’t want the job and we are running out of time !! the sky is falling in !!

  4. His first priority is to recommend a new chairman

  5. Christine Brightwell 26th January 2016 at 10:47 am

    Probably the best in the world according to Osborne. Gosh… Oh, Osborne left out the “probably”. Poor Andrew, no pressure then

  6. He has an impossible job. He could do the Treasury’s bidding only to be disowned if their idea proves wrong.

    We now have regulation split into a 2 tier Animal Farm type structure in which some areas are regulated to infinity but others, who present greater risk to the consumer, have the political muscle to demand a lighter touch. Simply, there is not the political will either at the Treasury or the FCA to apply the pressure required to rectify the issues.

  7. Like it or loath it the regulator is here to stay and it does need a leader, if only to be the fall guy. However it is now going to be his job to take the regulator forward and all I can hope is that he does this in a sensible, dynamic and pragmatic way to allow the FS industry in general, and advisers specifically to flourish, not crumble. In order to do that I think he needs to really go back to basics and find ways to work with the industry to develop. There needs to be a rewriting of a lot of the rules in order to do this because 10,000 pages is simply not workable. I think he needs to quickly establish that the FCA is not all things to all people, it is not a consumer champion but is there to allow the markets to work well by being effectively regulated by one section of the FCA. The banks to have the same applied to them by a separate division and the advice sector to have its own division. The 3 all work differently and so SHOULD have a different a set of rules, applicable each sector. Even the dumbest monkey on the planet can understand that the current one size fits all approach has not, is not and will not ever work. Remember the definition of madness? Repeating the same actions as before, expecting a different outcome.
    If the Chancellor has given him the brief of “sort that lot and turn them into a a fit for purpose organisation” it would be great but just wonder how much of a free rein he has actually been given to do it his way

  8. Tim tim@pagerussell.co.uk 26th January 2016 at 10:57 am

    He is an academic economist who has spent nearly all his career inside Threadneedle Street. He knows a lot about rescuing banks. But from his CV there is no evidence that he knows anything about retail financial services. Be prepared for speeches littered with the phrases “market failure”, “information asymmetries” and other concepts that only academic economists think exist in the real world.

  9. Here we go again
    Here we go again
    Should’ve known better
    Then trying to let you go
    ‘Cause here we go go go again
    Again and again and again and again

    Borrowed from DEMI LOVATO LYRICS

  10. this move strengthens the banks ability to do what they want with little or no interference from the regulator.

  11. From a shortlist of one.

  12. Wheatley was given the heave-ho presumably because he wouldn’t do Orrible Osborne’s bidding.
    Do we therefore assume that Mr Bailey is Osborne’s poodle. Time will tell.

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