In 1903, Bp. Arsenius was installed as Bishop of [[Pskov]], where, in 1907, he was raised to the dignity of [[archbishop]]. Also in 1903, he was elected a member of the State Council. In 1905, Bp. Arsenius was appointed a member, and later president, of the Educational Committee of the [[Holy Synod]], In 1910, he was transferred to the Diocese of Novgorod with the rank of [[metropolitan]]. In [[Novgorod]], Metr. Arsenius, who also was an archaeologist, established the Novgorod Church Archeological Society in 1913.
Metr. Arsenius was also appointed a member of the Apostolic Governing Synod. Following the abdication of Emperor Nicholas II in early March 1917, Metr. Arsenius was removed, with all but one incumbent, as a member of the [[Synod]] by the new [[ober-procurator]], [[Vladimir Nikolayevich Lvov|Vladimir Lvov]], who had been appointed by the incoming Provisional government. During the [[Council of 1917-1918]], Metr. Arsenius was one of the three final candidates to fill the renewed position of [[patriarch]] of Russia.
In late 1917, after the Bolshevik revolution, his life and that of the [[diocese]] changed radically, as the [[clergy]] were repressed and executed. Church property was confiscated and from 1920 to 1922 the clergy were subjected to trials. Metr. Arsenius was first arrested in 1919 but released in 1921 before again being arrested in 1922. As Patr. Tikhon, Metr. Arsenius, and most the Church leaders were placed under judicial examination by the Bolsheviks during 1922 and 1923, many were forced into exile and imprisoned. After his trial, Metr. Arsenius was imprisoned for eleven months before being sent into exile in Tashkent in the middle of Asia.