Senate Banking Committee Chairman Tim Scott said Federal Reserve Chair Jerome Powell is making a “significant mistake” by staying on the Federal Reserve’s Board of Governors after his term atop the central bank ends.
“He’s breaking 75 years of precedent. Every time you get a new chairman, the former chairman leaves. That’s good news because what you don’t want are these philosophies in conflict,” Scott, R-S.C., said Tuesday at the Milken Institute Global Conference.
“I think for the country and for the Fed, it would be best if he left,” Scott said.
Powell’s term as Fed chair ends May 15. By staying on, he is denying President Donald Trump a majority on the board, on which Powell could serve until 2028.
A spokesperson for the Fed didn’t immediately respond to an email seeking comment on Scott’s remarks.
