Shipley is facing legal action from Mainzeal’s liquidators but FSC said the events were not connected.

"In 2014 Dame Jenny’s term was extended for a further year while the organisation was reviewing its strategy. In February of this year Dame Jenny advised the FSC Board that having taken up the role of chair of the CERA Transition Board she would be retiring as chair of the FSC due to her new time commitments. Had Dame Jenny not retired in February of this year she would still be in the role of chair of the FSC. None of these events can be linked to the Mainzeal liquidation and it is wrong and unfair to draw that inference."

Rob Flannagan, a former managing director of Tower and the Guardian Trust, will take over.

The Financial Services Council’s member companies include ones managing the savings of most of the 2.5 million members of KiwiSaver as well as underwriting about 90% of life, income protection and credit insurance in New Zealand.

Flannagan chairs Guardian Trust and is a member of Airwork Holdings Limited, Global Film Solutions Limited and Ministry of Education Infrastructure Advisory Boards. 

Flannagan is a Harvard Business School Alumni and a Fellow of the Institute of Directors.  He earlier served as a member of the KiwiSaver Default Provider Evaluation team advising the Government.

The FSC says it is focusing on three major projects this year: The need for income protection insurance to avoid large-scale financial distress, how KiwiSaver can be managed to help New Zealanders enjoy a better retirement, and the review of the Financial Advisers Act.

Deputy chair John Body, of ANZ, said: “It is great that someone with Rob Flannagan’s wide industry experience and reputation was available to serve as our chair and lead us in this important phase focusing on building New Zealanders’ financial security.”