Leadership Shake-Up at Britain's Financial Ombudsman Service

Abby Thomas, the chief executive and chief ombudsman of Britain's Financial Ombudsman Service, is stepping down after more than two years. The announcement comes amid increased pressure from finance minister Rachel Reeves on regulators to support economic growth. Dipple-Johnstone and Simmonds will temporarily assume Thomas' duties.

Abby Thomas, who served as chief executive and chief ombudsman of the Financial Ombudsman Service (FOS) in Britain, has announced her resignation after a tenure of over two years. The reason for Thomas' departure remains unspecified by the FOS, but it coincides with finance minister Rachel Reeves' enhanced push on regulators and public agencies to alleviate business pressures and foster economic growth.

Neither the FOS nor Britain's finance ministry provided immediate comments on her exit. Last month, Reeves had also ousted the chair of the Competition and Markets Authority, emphasizing the need for leadership more aligned with her strategic direction, appointing Amazon's former head in Britain as a replacement.

The FOS, which resolves disputes that customers can't settle directly with financial services companies, has been recently involved in managing complaints over car loan mis-selling. This comes as Reeves intervenes in landmark cases aiming to shield lenders from substantial financial liabilities. Following the departure, James Dipple-Johnstone and Jenny Simmonds will temporarily take over Thomas' responsibilities. Upcoming parliamentary Treasury Committee sessions may explore the specifics of Thomas' exit.

(With inputs from agencies.)