- Key Insight: McKernan's confirmation comes as the Trump administration's deregulatory financial agenda begins in earnest, positioning a seasoned industry ally in a key Treasury post.
- Supporting data: McKernan was confirmed in a 51–47 vote. McKernan was nominated to lead the Consumer Financial Protection Bureau earlier this year but his nomination was withdrawn in May.
- Forward look: McKernan will advise Treasury Secretary Scott Bessent on domestic finance as the administration pushes ahead with its deregulatory efforts.
The Senate Tuesday confirmed former Federal Deposit Insurance Corp. board Director Jonathan McKernan to serve as the Treasury Department's under secretary for domestic finance.
"It is an honor to continue my career in public service to the American People as Under Secretary of Domestic Finance," said Jonathan McKernan, following the 51-47 vote. "I want to thank President Trump and Secretary Bessent for their confidence in me to further the economic agenda of this Administration as we look to accelerate this nation's sustainable economic growth."
McKernan
In his new role advising Secretary Scott Bessent on domestic financial regulatory issues, McKernan will likely serve in a critical role as the administration sets about undoing what it views as the regulatory excesses of the Biden administration.
In his previous role on the FDIC board, McKernan — who had previously served as a banking lawyer, senior counsel for policy at the Federal Housing Finance Agency and as Republican staff counsel on the Senate Banking Committee — offered measured critiques of the Biden administration's proposed regulations, including those aimed at
During his time in office, beginning in January 2023, McKernan was one of two Republican appointees on a majority Democratic bank regulatory board. In his time he opposed a number of initiatives, most notably the Basel III endgame capital rules.
McKernan has also advocated for regulators developing more detailed guidance governing banks' relationships with financial technology firms. In July 2024, he
"Jonathan's credentials make him an ideal leader for Treasury's domestic finance portfolio," said Secretary of the Treasury Scott Bessent. "He will play an instrumental role in strengthening our economy by clawing back the government overreach and excess that defined previous administrations. I look forward to working with him as we lay the economic foundation for America's Golden Age."
Consumer Bankers Association President and CEO Lindsey Johnson celebrated the move, and said McKernan's bank regulatory experience will be an asset as the administration works to pare back regulation on banks.
"On behalf of America's leading Main Street banks, we congratulate Jonathan McKernan on his confirmation as Under Secretary for Domestic Finance. His experience at the FDIC and throughout his career makes him uniquely qualified to help guide Treasury's domestic finance portfolio at this pivotal moment," Johnson said in a statement. "We look forward to working with Under Secretary McKernan and Secretary Bessent to advance policies that foster innovation, promote competitiveness, and strengthen the resilience of our nation's economy."
