Central Bank names French financial expert Cyril Roux as new regulator

Frenchman Cyril Roux will take over as Ireland's next financial regulator on October 1st. He will succeed Englishman Matthew Elderfield as deputy governor, financial regulation, at the Central Bank.

Mr Roux will be paid a salary of €310,000 and will be entitled to claim up to 10 per cent of this amount to cover the costs of his relocation from Paris. This will make him the best-paid executive at the Central Bank although he will not receive a bonus or a pension contribution.

Mr Elderfield was paid €340,000 in 2012 and the lower salary being paid to Mr Roux reflects the pay cut imposed by the recent Haddington Road agreement on public-sector pay.

Mr Roux is currently first deputy secretary general of the Autorité de Contrôle Prudentiel et de Résolution (ACPR), the French prudential supervisory authority for banks and insurance companies. ACPR is an offshoot of the Banque de France, the country’s central bank.

Mr Roux said he was “honoured” to secure the role in Ireland and was “aware that restoring the Irish economy to full health requires effective financial supervision”.

He has been given a five-year contract.

'Relevant experience'

In a statement yesterday, Central Bank governor Patrick Honohan said Mr Roux's "very extensive relevant experience and skills are particularly suited to this challenging role".

“I look forward to working with him, along with the rest of the regulatory team, as we continue to develop the financial regulatory system in Ireland.”

Minister for Finance Michael Noonan said Mr Roux's appointment comes at an "important juncture" in the restructuring of Ireland's financial sector. "I look forward to engaging with him on the challenging work ahead," Mr Noonan said. "His broad international regulatory experience will be an important asset in the continuation of the task of rebuilding Ireland's regulatory framework."

Mr Roux will be responsible for all regulatory activities at the Central Bank. This will include overseeing the next series of prudential capital stress tests of Irish banks in the first half of 2014. This will determine if the banks are sufficiently capitalised or if additional bailout funds will be required from the State for AIB, Bank of Ireland or Permanent TSB.

It is understood Mr Elderfield will depart his role next week, having been appointed to the post in January 2010 for a five-year term. He is returning to the UK where he will join Lloyds Banking Group as director of conduct and compliance.

Insurance authority
Mr Roux has been first deputy secretary general of the ACPR since the authority was created in March 2010. Before this, he was deputy secretary general of the French insurance supervisory authority, which was merged into the ACPR. He also spent 10 years at insurer AXA and three years working for the French treasury.

He lives in Paris with his partner and his interests include running and swimming, literature, chess and music.