The rumour mill has been turning for some time over troubles at the FMA.
In May, the regulator announced Barrass wouldn’t seek reappointment once her first term in the role ends in January.
She won’t speak at a major Financial Services Council conference in August. The FMA chief executive has previously featured prominently at the industry event.
This year, the FMA will be represented by other senior staff.
The FMA said Barrass advised the board at the end of last year that she was unlikely to seek a further five-year term, because of emerging family needs in the UK.
At the end of last year, three FMA board members complained to the Commerce and Consumer Affairs Minister about the conduct of the board’s chairman at the time, Craig Stobo.
This sparked an independent investigation, which concluded Stobo failed to demonstrate the political neutrality expected of him in the public commentary he made.
The investigation also revealed tensions between Stobo and the FMA’s management, who weren’t always kept up to date with his movements and had concerns over a conflict of interest.
Stobo resigned in May, a few weeks before Barrass’ upcoming departure was announced.
Jenée Tibshraeny is the Herald’s Wellington business editor, based in the parliamentary press gallery. She specialises in government and Reserve Bank policymaking, economics and banking.
Stay ahead with the latest market moves, corporate updates, and economic insights by subscribing to our Business newsletter – your essential weekly round-up of all the business news you need.