Hector Sants will this week succeed John Tiner as chief executive of the FSA.

Sants, who is currently managing director of wholesale and institutional markets at the FSA, will take up the post on 20 July, after Tiner steps down at the regulator’s annual public meeting on 19 July.

He has been seen as the leading candidate ever since Tiner announced his intention to step down as chief executive earlier this year.

Sants, who joined the FSA from Credit Suisse First Boston, is widely liked in the City and has received plaudits for his crackdown on market abuse and toughening up the oversight of hedge funds.

He has also won favour for his non-confrontational regulatory style.

Callum McCarthy, chairman of the FSA, said: “We conducted a very thorough search, and we believe Hector's combination of financial services industry experience, intellectual engagement and leadership skills best equip him to lead the FSA.”

Sants said: “John Tiner and his senior management team have laid out a clear path for the future of the organisation. I plan to continue that agenda.

“I firmly believe in the risk-based and more principles-based approach the FSA has pioneered and I will work with the industry to ensure that market solutions deliver the best outcomes for all stakeholders, with a particular focus on consumers.”