UK – The chairman of the Financial Services Authority, Sir Howard Davies, has decided to step down, having served in the position for over five years.

Davies became chairman in August 1997, and this year had his appointment extended to January 31 2004. He will now, however, leave as soon as his successor is appointed, and prior to commencing his new role as director of the London School of Economics at the beginning of October 2003.

Chancellor Gordon Brown congratulated Davies on his new position, and thanked him for his commitment to the FSA, saying: “From nine constituent bodies, he has successfully established a single organisation responsible for regulating the UK’s deposit-taking, insurance and investment businesses.

“That the FSA is now widely acknowledged as a world leader in its field is very largely thanks to Sir Howard’s drive and vision.”

Davies’ replacement will be appointed by the Treasury.