Marshall Bailey (pictured) will take over from Lawrence Churchill as the chairman of the UK's Financial Services Compensation Scheme on April Fool's Day.

The new man was appointed by the board of the Financial Conduct Authority and the Prudential Regulation Committee (which makes the Prudential Regulation Authority's most important decisions) with the approval of HM Treasury.

Bailey has worked in financial services for over two decades and has held senior positions in a number of firms. He has concerned himself with financial reform and the nebulous regulatory concept of 'conduct,' most recently on the board of UK Financial Investments Limited, a Government creature. He is also a non-executive director at Chubb European Group and CIBC World Markets in the UK.

During the last six years the FSCS has paid more than £1.8 billion in compensation to customers who have lost out and has recovered £13.2 billion from the estates of failed firms, including the ones that failed during the financial crisis that began in 2008 and has yet to reach its climax. This included the Icelandic banks and Bradford & Bingley.