Washington — Former White House adviser Steve Bannon has recommended that Treasury Secretary Scott Bessent serve as head of the Federal Reserve in addition to his existing role, a suggestion the White House quickly rejected.
Talking on a podcast with former White House press secretary Sean Spicer, Bannon stated Bessent should have both positions at least through the midterm elections. He advocated for the double appointment as enabling economic leadership continuity, with Bessent possibly leaving Treasury afterward to head the Fed.
I am a strong believer that on an interim basis, Scott Bessent needs to be both head of the Federal Reserve and secretary of Treasury," Bannon stated in remarks received prior to the release of the podcast.
The White House replied the proposal has "never been considered." Officials attested that Bessent is heading up the search for a replacement to outgoing Fed Chair Jerome Powell, whose term ends in May 2026, but insisted he is not a candidate for the job himself.
Although there is no precedent for holding both positions in recent history, Treasury chiefs previously sat as ex-officio members of the Fed Board before reforms in the 1930s began to split the jobs. The arrangement would spark central bank independence concerns, analysts say.
President Trump has consistently lambasted the Federal Reserve for being too reluctant to lower interest rates, putting additional heat on the existing controversy surrounding Powell's eventual resignation.
