Hassett Says Powell Should Leave Federal Reserve Board

President Donald Trump's chief economic adviser has called on former Federal Reserve Chair Jerome Powell to leave the central bank's board of governors, according to Bloomberg. The call follows an internal report that cited management failures in the renovation of the Fed's Washington headquarters.

What did Hassett say about Powell's future at the Fed?

Kevin Hassett, director of the White House National Economic Council, said Powell should "move on" from his seat on the Federal Reserve's governing board, Bloomberg reported. The comment separates Powell's tenure as chair — a role with a fixed term — from his underlying seat on the seven-member board, which Fed governors can hold independently of whether they serve as chair.

What triggered the call for Powell to step down?

Hassett's remarks came after an internal report flagged management failures connected to the renovation of the Federal Reserve's headquarters building, according to the Bloomberg account. The report is the proximate cause cited for Hassett's public comments, though Bloomberg's dispatch does not detail the report's full findings or who commissioned it.

What is Jerome Powell's current status at the Federal Reserve?

Bloomberg's report refers to Powell as a "former" Fed chair, indicating his term leading the central bank has already ended. The report's framing — calling on him to leave the "Fed board" specifically — suggests Powell remains a sitting governor even though he is no longer chair. That distinction matters because it is the board seat, not the chairmanship, that Hassett is now targeting.

Who is Kevin Hassett and why does his view matter?

As director of the National Economic Council, Hassett serves as one of Trump's principal economic advisers and has been a visible administration voice on Federal Reserve matters. His public call for Powell's departure from the board carries weight because it reflects the White House's posture toward the central bank's leadership rather than the view of an outside critic. Bloomberg's report does not include a direct quotation from Hassett beyond characterizing his position, so the precise wording of his remarks was not available in the sourcing for this story.

What happens next?

Bloomberg's report does not specify whether the White House plans any formal action to remove Powell from the board or whether the matter will be left to Powell's own decision about his seat. Fed governors are not generally subject to removal by the executive branch except for cause, a structural feature of the central bank's design meant to insulate monetary policy from political pressure. Whether Hassett's comments signal a broader administration push or represent his individual assessment was not addressed in the available reporting. HTT News will update this story as additional details become available.