Former industry boss Adair Turner has been named chairman of the Financial Services Authority, taking the helm a year after the near-collapse of lender Northern Rock and the watchdog's biggest crisis to date.
Mr Turner, who had been widely tipped as favourite for the job, will replace Callum McCarthy when he retires in September.
A former director-general of the Confederation of British Industry and former vice chairman of investment bank Merrill Lynch in Europe, Mr Turner will lead the regulator as it wrestles with the challenge of rebuilding a tarnished reputation in turbulent markets.
The Northern Rock crisis - the first run on a British bank in over a century - brought accusations from politicians and business leaders that the FSA had failed to do enough.
Mr Turner, a high-profile figure who has also led a government inquiry into pension reform, was named as the Government's climate change tsar earlier this year. He will step down from that role in 2009, after leading the Climate Change Committee's formal advice to the government on the first three carbon budgets and the 2050 target.
