The Treasury has announced the reappointment of Nikhil Rathi as chief executive of the Financial Conduct Authority (FCA) for a second term, extending his leadership until September 2030.

Rathi, who first took up the role in October 2020, has overseen significant reforms to strengthen the UK's position in wholesale markets, including the most substantial changes to the listing regime in over three decades.

Under his leadership, the regulator raised standards by introducing the Consumer Duty, aimed at ensuring people receive appropriate support, clear communication, and products that meet their needs and offer fair value. The FCA has also worked to streamline its rulebook to lower costs for firms and boost international competitiveness.

Chancellor Rachel Reeves expressed her support for the reappointment, stating: "Nikhil Rathi has been crucial in this government's efforts to reform regulation so it supports growth and boosts investment – I am delighted he will be continuing his leadership of the FCA."

Rathi commented on his reappointment: "I am honoured to be reappointed by the Chancellor. The FCA does vital work to enable a fair and thriving financial services sector for the good of consumers and the economy. 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."

The extension of Rathi's tenure comes as the Labour government scrutinises the performance and strategy of economic regulators in search of growth opportunities. The FCA had been under pressure to scale back the intrusiveness of its enforcement rules, recently modifying proposals to "name and shame" companies under investigation.

Ashley Alder, the FCA's chair, praised the reappointment: "I am delighted Nikhil has been reappointed. He's the right leader in testing times. His exemplary first term as chief executive has ensured the FCA is an organisation transformed."

Last month, the FCA published a new five-year strategy with four priorities: to be a smarter regulator, support economic growth, help consumers navigate their financial lives, and fight financial crime.

Rathi previously served in senior Treasury posts and as chief executive of the London Stock Exchange before joining the FCA. The regulator now has 11 per cent of its workforce in Leeds and Edinburgh as part of its regional expansion.

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