Santander set to pick insider as next UK boss, FT reports

Nov 6 (Reuters) - Spanish lender Santander is set to name an insider as its next UK chief executive, the Financial Times reported on Thursday, citing people familiar with the matter.

The short-listed candidates set to replace Mike Regnier, who will step down by the first quarter of 2026, include group Chief Risk Officer Mahesh Aditya and head of the UK retail and business bank Enrique Alvarez Labiano.

While Santander, the euro zone's biggest lender by market value, has not made a final decision yet, Aditya was regarded as the front-runner, FT said.

Regnier's departure marks the latest change in leadership at Santander UK, which saw Thomas Scholar succeed William Vereker as chairman in August.

Santander declined to comment on the FT report and instead referred to a previous statement by Scholar in which he said last month that the bank expected to complete the process of appointing a new UK CEO in early 2026.

The plans to appoint a new CEO come as Santander prepares to integrate TSB, the British unit it agreed to take over from Spanish lender Sabadell, initially for 2.65 billion pounds ($3.56 billion), helping it become the third-largest bank in the UK by current account balances.

In October, Regnier said that the integration would take time and focus "alongside the ongoing transformation of Santander UK".

Earlier this year, Santander had been reviewing its business, with a pullback from the country among the options, a source said.

Last month, Santander UK withheld its third-quarter results in late October, citing a need for clarity on the UK financial regulator's proposals related to compensating consumers for unfair car loans. ($1 = 0.7451 pounds) (Reporting by Ananya Palyekar in Bengaluru; additional reporting by Jesús Aguado; Editing by Kim Coghill and Joe Bavier)

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