Westpac ends search for CEO

Peter King has been confirmed as Westpac's new CEO after holding the role in an interim capacity for several months.

The news was announced on the ASX. Chair John McFarlane said that in moments of global stress and uncertainty, management stability is vital. "I believe we need a Chief Executive in place now, not later, and with full, rather than acting authority."

King has agreed to hold the role for two years.

"[King] understand the bank, its business and its finances, and has the confidence of the management team, as well as my own and that of the Board.

"He and I are also completely aligned on what needs to be done. He is the right person to take the company forward at the present time, and now has the full authority to make change and see it through," said McFarlane.

King has been with Westpac for more than 25 years, most recently as chief financial officer before taking on the acting CEO duties following the resignation of Brian Hartzer in December.

"We are focused on responding to the COVID-19 outbreak and supporting our customers and protecting our people," said King. "We have a critical role to play alongside Government and regulators in supporting Australians and New Zealanders and our countries' financial systems."

Westpac and its staff have been responding well to the crisis, said King. "I am incredibly proud of how our people are responding to this crisis with genuine care, compassion and support for each other and for our customers.

"Across our organisation, we are working hard to ensure we remain open for business so we can continue to help customers with their financial situation."

King was also reflective of the needs of the organisation both now and in the near future. "My medium-term priorities remain to drive performance through our lines of business and sharper accountability, simplify the business through digital transformation, and lift our service culture and risk management capability."

The Westpac board and executive agreed to cancel CEO and group executive bonuses for 2020 in recognition of "collective accountability for the financial crime outcomes in Westpac's business which led to the action brought by AUSTRAC."