Chancellor Alistair Darling has appointed Lord Adair Turner chairman of the Financial Services Authority (FSA) for a five-year period. Lord Turner – who had been widely tipped for the job – will take up the post in September when current chairman Sir Callum McCarthy steps down.
Mr Darling said: "I am delighted to appoint Adair Turner as Chairman of the FSA. His wide-ranging expertise will be invaluable in driving forward the FSA's objectives to maintain confidence in the financial system, promote public understanding of it, protect consumers and reduce financial crime. I look forward to working with him.
"I would also like to take this opportunity to thank Sir Callum McCarthy for his dedication and contribution over the past five years. Sir Callum has provided the FSA with leadership during this period, particularly during the severe pressures in financial markets since last August, continuing the transformation of an organisation and the development of a regulatory system, which is recognised internationally as world-leading."
Lord Turner was appointed as the first chair of the new shadow climate change committee in January. He will remain as chair, providing the committee's formal advice to the Government on the first three carbon budgets and the 2050 target in December, and will step down from the role in the New Year.
He said: "I am delighted to be taking over from Callum McCarthy at the FSA, and look forward to leading the authority as it meets the challenges ahead"
Director general of the Association of British Insurers, Stephen Haddrill, applauded the decision. "Lord Turner's appointment is an outstanding one for the FSA and will be well received across the insurance
industry," he said. "I worked with him on the low pay commission some years ago, and his stewardship of the CBI [Confederation of British Industry] shows that he understands the costs of regulation to business.
"More recently, his work on pension
reform shows he has an excellent grasp of the issues involved, not least the vital need to keep personal accounts simple and out of the regulatory advice net. There are lessons in both of these areas for the FSA. I look forward to working with him closely in the future and continuing to build the strong relationship the insurance industry has with the FSA."
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