Amanda Spielman, who was Ofsted chief inspector when head teacher Ruth Perry took her own life after an inspection, is set to become a peer in the House of Lords.
She is understood to have been nominated for the honour, yet to be announced, by Conservative leader Kemi Badenoch - who has not commented.
A Conservative source described her as a "brilliant thinker with a wealth of knowledge" who would be a "huge asset to parliament".
Ms Spielman served as head of the schools watchdog from 2017 to 2023, with an independent review launched during her last year finding
Ofsted's response to Mrs Perry's death had been "defensive and complacent".
Mrs Perry took her own life in January 2023 after learning her school, Caversham Primary School in Berkshire, was set to be downgraded from "outstanding" to "inadequate". Her inquest in December of the same year ruled the school's inspection had contributed towards her death.
Ms Spielman received criticism after suggesting in November 2023 that Mrs Perry's "very sad case" had been "used as a pivot" to "discredit" the schools watchdog.
In a statement, Mrs Perry's sister, Prof Julia Waters, said Ms Spielman's nomination for a peerage was a "disgrace", and that her record "should not be rewarded" with a place in the House of Lords.
"Through her response to Ruth's death and the subsequent inquest and inquiries while head of Ofsted, Amanda Spielman showed herself to be lacking in many of the qualities that you would hope would be needed in Parliament," she said.