Jon Pain, a former managing director and one-time interim chief executive of the Financial Services Authority (FSA), is to join state-owned Royal Bank of Scotland (RBS).
Katherine Leaman, manager of the FSA's professional standards policy team, will leave the regulator and head to the private sector with a job at Royal Bank of Scotland.
Jon Pain, formerly managing director of the FSA, will join KPMG as a partner working in its regulatory practice.
Martin Wheatley, head of Hong Kong's financial regulatory body, has emerged as a leading candidate to head the Consumer Protection and Markets Authority (CPMA) when it is spun out of the FSA next year, according to reports.
The FSA today confirmed the departure of head of supervision Jon Pain.
Product regulation will lead to a drop in innovation and "inevitable" extra costs for financial advisers, Chris Cummings says.
The continuing debate on specialist lenders' arrears management intensified last week, after City Minister Lord Myners called for a crackdown on charges levied by lenders when borrowers fall into mortgage arrears.
Advisers may take time to warm to new FSA retail chief Jon Pain given his background in banking, the Association of IFAs (AIFA) warns.