UK Edition The new bishop of London could pave the way for a female Archbishop of Canterbury, campaigners have said.
Supporters have celebrated the appointment of Sarah Mullally, currently Bishop of Crediton, to the third-most senior role in the Church of England.
The surprise appointment is a controversial one in a diocese divided over the issue of women's ordination.
The previous incumbent, Richard Chartres, ordained neither male nor female priests in a concession to conservatives who opposed the ordination of women, and a female successor was widely considered unlikely.
Speaking at a press conference announcing her appointment, Bishop Mullally was conciliatory towards those who opposed it.
“I am aware that for some the appointment of a woman as a bishop will be difficult. I am very respectful of those who for theological reasons cannot accept my role as a priest or as a bishop,” she said.
She admitted that her appointment had been a "surprise" to some, adding "I would probably share some of that surprise."
It is understood that members of the diocese who do not believe in women’s ordination will likely be ordained instead by the bishops of Fulham and Maidstone, who minister to those who do not accept women priests.
Commenting on the appointment, the Archbishop of Canterbury Justin Welby said: "As one of the first women consecrated as a bishop in the Church of England, she has not only blazed a trail for others but lived out the principles of mutual flourishing and acceptance which I know will continue to bear fruit in London."
Campaign group Women and the Church, which was founded in 1996 to advocate for women's leadership, celebrated the appointment.
"Since the legislation went through in 2014 the potential has been there. Archbishops are no different from bishops in that respect.
"Whoever are our next archbishops, that can be a man or a woman regardless.
"Obviously the fact that that has now become a reality, as the bishop of London is a very senior position, perhaps those who were thinking 'it'll never be an archbishop' are now thinking that all things are possible.
"This has been a very clear marker for the direction of travel of the church in terms of wanting to have full gender equality," said spokeswoman the Rev Jody Stowell.
However, conservative groups said the appointment would result in a "deeper impairment of communion".
A statement from Forward in Faith, which opposes women's ministry, said: "We remain committed to maintaining the highest degree of communion that is still possible in these changed circumstances, while being realistic about its limits."
The statement, signed by Bishop of Wakefield Tony Robinson, added that since the church agreed to appoint female bishops in 2014 there had been "numerous appointments of women as bishops and archdeacons, but only one new appointment of a traditional catholic".
Last week one of the largest churches in the diocese threatened to split away from the Church of England if the next Bishop had a liberal view on sexuality.
The rector at St Helen’s Bishopsgate, William Taylor, said in a sermon that his first question to the new bishop would be whether they are "prepared to openly to declare as sin what God calls sin".
In a statement posted online on Monday, the church said: "We offer Bishop Sarah our congratulations and assure her of our prayers".
She is widely considered a supporter of LGBT equality, but said she "absolutely supports" current Church teaching on marriage, which does not allow gay couples to wed in church.
A trained cancer nurse, Bishop Mullally rose to become chief nursing officer for England and was made a dame for services to nursing in 2005, before becoming a priest in 2006.
The Church appointed its first woman bishop, Libby Lane, to the post of Bishop of Stockport in 2015.
A spokesperson for the Church of England said: “People from all walks of life - women and men, young and old - are warmly welcome to all roles within the Church of England.
“So far 12 of our bishops are women, last year the number of women entering training for ordination jumped by almost 20 per cent.
“The nomination of Bishop Sarah Mullally as Bishop of London shows powerfully that the Church of England is open to all.”