Bank of England deputy governor Andrew Bailey will become the new chief executiveof the UK Financial Conduct Authority, as the Treasury turned to a familiar face following a six-month search for the country's top markets regulator.

Bailey will take over from acting CEO Tracey McDermott for a five-year term once his successor at the Prudential Regulation Authority, where he's currently CEO, is found, the UK Treasury said in a statement Tuesday.

"We have cast the net far and wide for this crucial appointment and, having led the Bank of England's response to the financial crisis, Andrew is simply the most respected, most experienced and most qualified person in the world to do the job," Chancellor of the Exchequer George Osborne said in the statement. "His appointment is an important next step in the establishment of the FCA as a strong regulator, independent of government and industry."

The search for a new chief of the FCA has been underway since last summer when Osborne ousted former CEO Martin Wheatley, saying "different leadership" was needed at the regulator.

Bloomberg