Lobbyists Root for McHenry for House Speaker as Race Drags On

Business lobbyists have offered mixed reviews of the candidates in the protracted bid for House speaker but there’s one name not officially in the race they just can’t quit buzzing about: Patrick McHenry.

The North Carolina Republican, who leads the House Financial Services Committee, has taken an understated role as speaker pro tempore that belies his deep ties among Washington’s lobbyists and the clients, including big Wall Street banks, they represent.

Since McHenry assumed the temporary, and largely ceremonial role, after members ousted former Speaker Kevin McCarthy (R-Calif.), lobbyists from both sides of the aisle have said they hoped McHenry could keep the role longer-term. McHenry, an ally of McCarthy, has said he doesn’t want the job.

Rep. Patrick McHenry (R-N.C.) who is serving as interim House Speaker, in the House chamber on Tuesday.

Photographer: Kent Nishimura/Bloomberg

Now that the second official candidate, Rep. Jim Jordan (R-Ohio), has fallen short on two ballots, and after Rep. Steve Scalise (R-La.) dropped out, lobbyists, including a former speaker, say they want McHenry to have the power to run the chamber.

“When he got called up, after the McCarthy motion to vacate, I said, ‘Thank, Jesus,’” said Michael Williams, a Democratic lobbyist who runs the Williams Group, which represents financial industry clients including the Managed Funds Association and the National Bankers Association.

“He has his views, he’s conservative,” Williams said. “But he is nothing if not pragmatic, and that’s all you could ask for.”

McHenry offers a clear-eyed assessment of legislative fights, Williams said.

“I’ve been in meetings with him, and you would just assume every Republican you meet with is going to say the same thing. Not so,” he said. “I’ve had him say to clients before, ‘Yeah, I just don’t see a path forward.”

‘A Real Leader’

Former Speaker Newt Gingrich (R-Ga.) wrote that empowering McHenry to lead the House was a better alternative to the “gridlock and chaos.” It’s a plan that ex-Speaker John Boehner (R-Ohio), a senior strategic adviser at the lobbying and law firm Squire Patton Boggs, endorsed in a post on X, formerly Twitter.

“When he started, he was a rabble rouser,” said Warren Tryon, a partner with the lobbying firm Capitol Counsel. “Now, he’s a real leader.”

Tryon previously worked for House Republicans, including as deputy staff director of the Financial Services panel. He said McHenry knows how to delegate, empowering the subcommittee chairs on the panel.

“He really empowers people,” Tryon said. “He’s well liked by every faction.”

Tryon said that McHenry’s staff has previous leadership experience, including Financial Services staff director Matt Hoffman, who was on the staff of former Speaker Paul Ryan (R-Wis.).

McHenry brought in 125% more to his campaign and leadership coffers this year, disclosing donations from numerous banking interests overseen by his committee, including the political action committees of the Consumer Bankers Association, State Street Bank and Trust Co., and S&P Global. By mid-year, his re-election campaign and his leadership PAC, Innovation PAC, had raised $2.2 million.

McHenry’s re-election campaign had hauled in more than $2 million by Sept. 30, federal campaign disclosures show. Donations came from the PACs of financial concerns including Visa Inc., Morgan Stanley, Goldman Sachs Group Inc., and UBS Americas Inc., as well as other business interests: Caterpillar Inc., Target Corp., Valero Energy Corp. , National Restaurant Association, and the National Association of Manufacturers.

Corporate Ties

McHenry’s ties to the corporate world, especially financial interests, are a point of criticism among watchdog groups.

“Patrick McHenry as speaker means putting someone in place who is tightly interwoven with the financial giants,” said Lisa Gilbert, executive vice president of Public Citizen. “As the chair of the Financial Services Committee his ear is held by the biggest banks, and he has proven his worth by pushing to undercut tougher capital standards and endlessly critiquing the Securities and Exchange Commission. He is only moderate in contrast to Jim Jordan.”

John Murray, a partner at Monument Advocacy, said he got to know McHenry while Murray worked for then-House Majority Leader Eric Cantor (R-Va.).

“Patrick is a very strategic, steady hand at the wheel at a time when the House Republican conference needs that, and he is very well liked by the members,” Murray said. “I’m a huge fan, and I’m not surprised that in these turbulent seas that he is one of the folks that is trying to stabilize the ship.”

Paul Merski, who is group executive vice president of congressional relations and strategy for the Independent Community Bankers of America, said McHenry had a deep understanding of financial services policy and had helped lead the push to rollback regulations on the sector.

“He really knows the ins and outs and the issues of the banking sector, particularly the community banking sector,” Merski said. “It would be a very positive thing to have a potential speaker of the House that would have that in-depth knowledge and long-term understanding of the issues that the community banking sector is facing.”