Public statements or policy changes announced by the Federal Reserve

Fed's Michael Barr Steps Down as Vice Chair, Avoiding Clash with Trump

Jan 6, 2025, 04:36 PM

Michael Barr, the Federal Reserve's top banking regulator and Vice Chair for Supervision, announced on Monday that he will step down from his role effective February 28, 2025, or earlier if a successor is confirmed. Barr will remain on the Federal Reserve Board as a governor until his term ends in January 2032. His decision to resign from the supervisory role aims to preemptively avoid a potential clash with President-elect Donald Trump, whose advisers had seriously considered demoting him. Barr's successor, to be nominated by Trump and confirmed by the Republican-controlled Senate, is expected to adopt a lighter approach to banking regulation and supervision. With Barr's departure, all three federal bank regulators—the Federal Reserve, the Office of the Comptroller of the Currency (OCC), and the Federal Deposit Insurance Corporation (FDIC)—are expected to see changes under the new administration.