Katharine Braddick has been appointed as the next deputy governor for prudential regulation at the Bank of England and chief executive of the Prudential Regulation Authority.

The Treasury confirmed the move on 27 February, stating that she will replace Sam Woods from 1 July in a move that places a senior Barclays executive at the helm of the UK’s banking supervisor.

Braddick, currently Barclays’ group head of strategic policy and senior adviser to the chief executive, will serve a five-year term after approval by the King. She succeeds Woods, who has held the post since 2016 and will step down when his term ends in June.

The Treasury said the appointment followed a public appointments process and reflected the government’s expectation that regulators support investment and lending while maintaining financial stability. The PRA, part of the central bank, supervises banks, building societies, insurers and major investment firms and has gained expanded rule-making powers since Brexit.

The move represents a return to financial regulation for Braddick, who previously served at the now defunct Financial Services Authority and at the Bank of England as a bank regulator before joining Barclays in 2022.

Rachel Reeves, chancellor, said Braddick was “an accomplished pro-business leader with the experience to keep our financial system safe while backing the investment and lending that drives growth”, adding that “she understands the City and regulation”. Reeves thanked Woods for his “dedicated service” and said his successor would keep standards high while pursuing a growth-focused approach.

Andrew Bailey, governor of the Bank of England, said he was “very happy to welcome Katharine Braddick back to the Bank as deputy governor for prudential regulation” and that he was confident she would “lead the PRA with great ambition and skill, maintaining strong regulatory foundations to underpin a growing financial sector and a thriving economy”.

According to the Financial Times, her appointment is likely to be welcomed in parts of the City as a sign that ministers are serious about reforming post-crisis rules, though it may prompt scrutiny over conflicts of interest given her role at one of the country’s largest lenders. The newspaper reported that she will inherit key decisions including whether to ease capital requirements for banks.

In a letter to MPs, David Roberts, chair of the Bank’s court of directors, said Braddick would receive all deferred cash and share payments from Barclays before taking up the role and would not be involved in supervisory or enforcement decisions relating to the bank for six months.

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