Hill will formally take over on August 10, after the announcement of the society’s interim results.
He has worked for the lender since 2001, when he joined as general manager, and has been a member of the board as operations director since 2006.
Hill says: “I am extremely proud to be taking over at one of the UK’s strongest building societies.
“I look forward to building on our successful, sustainable business model and working with our very talented management and staff to ensure that we continue to implement the strategies that allow us to meet the needs of our membership and remain very successful.”
Robin Smith, chairman of Leeds Building Society, says: “As a member of the senior management team for ten years, five as an executive director, Peter has been a key part of the society’s success over the last decade. He is extremely well placed to ensure this continues.”
Ward will be retiring as chief executive on August 9, but will remain a director until September 23.
He has held the position of chief executive for almost 16 years.
Ward says: “It has been an enormous privilege and pleasure being chief executive of Leeds Building Society.
“I am also delighted that Peter will take over from me. He has a proven track record of success, is very talented and has a great desire to succeed.”
Ward adds that he is confident the transition will be a seamless one.