WASHINGTON — The Federal Reserve’s top financial regulator said Monday that he would resign next month, avoiding a potential confrontation with the incoming Trump administration and Senate Republicans.

Michael Barr said he would step down as vice chair for supervision on Feb. 28 but that he would remain on the Fed’s board of governors. His term as governor lasts until 2032.

Barr oversaw the proposal of tough new rules for the largest U.S. banks, which would have required them to significantly increase their financial reserves.

The proposal sparked fierce opposition from the largest financial firms and was sharply criticized by Senate Republicans and former President Donald Trump during last year’s presidential campaign. — Associated Press