Nikhil Rathi has been reappointed as Chief Executive of the Financial Conduct Authority (FCA) to spearhead the regulator’s new approach to financial regulatory oversight.
UK Chancellor of the Exchequer, Rachel Reeves, has confirmed Rathi will lead the financial watchdog for a second five-year term until September 2028. She emphasised the FCA’s role in reforming regulation, supporting growth and boosting investment.
Reeves said: “I am delighted he will be continuing his leadership of the FCA. We want the FCA to go further and faster to deliver this government’s Plan for Change and we look forward to continuing to work together to achieve this.”
Reeves and Prime Minister Keir Starmer have shared strong opinions on regulation in the past few months. In December, Starmer said that the “regulators, the blockers and bureaucrats” form an “alliance of naysayers”, which he stated is the reason “we can’t get things done in our country”.
Following this speech, the UK has been on a mission to cut red tape and streamline how regulators operate. The payments sector has already been affected by this strategy, with the Payment Systems Regulator (PSR) set to merge under the FCA’s remit in the near future.
Under Rathi, the regulator has reacted accordingly to these directions from the Prime Minister. Earlier this month, the FCA published a series of policy changes, including reforms to mortgages and how firms gain regulatory approval in the country.
“I am proud of the reforms we have delivered to support growth, bolster operational effectiveness, set higher standards and to keep our markets clean and open,” Rathi added.
“While we must go further and faster in this age of volatility, the UK is well placed as a major international financial centre.
Ashley Alder, Chair of the FCA, stated that Rathi is the “right leader in testing times”, explaining that the FCA transformed as an organisation under his first term.
Alder concluded: “We’ve set a new standard for consumer protection, made it easier for businesses to access capital and quicker for firms to get authorised. That provides the solid foundation to deliver our ambitious new strategy – to deepen trust, rebalance risk, support growth and improve lives.”
