Matthew Wade had been preferred to Paine behind the stumps for Tasmania this season, given Wade was trying to keep his spot in the Test team.
Tim Paine has been confirmed as Australia's wildcard wicketkeeper for the Ashes opener, nine months after contemplating retirement and seven years after his most recent Test.
The axings of Matthew Renshaw, Matthew Wade and Glenn Maxwell were less of a shock, as all three men were under pressure to fire heading into the Sheffield Shield season.
It is a selection that smacks of muddled thinking by the Australian selectors and gives England, big underdogs without Ben Stokes, real hope that they may just spring a surprise in this Ashes series.
"Shaun is playing very well at the moment, having scored consistently in the One-Day Cup and first three rounds of the Sheffield Shield competition", Hohns said.
Nevertheless, the route Trevor Hohns' panel has taken points to the fact that much like England, Australia has holes to fill.
The 32-year-old replaces Wade and is selected ahead of Peter Nevill, who was widely expected to get a recall.
In the multi-format series, the four points from two ODI wins, two points from the drawn day-night Test and the T20 victory enabled Australia take an unassailable lead and retain the trophy.
The selections were described as "bombshells" in Australian press, while former Test bowler Stuart MacGill lashed the selectors as "morons".
Bancroft carried his bat in that same game, scoring a total of 162 runs in his two digs against NSW.
Bancroft, who turns 25 on Sunday, is also in form, hitting a sparkling 228 not out in a Shield match against South Australia this week.
"He is a very talented and tough cricketer who shows a good temperament for Test cricket".
"Cameron has been a player of interest to us for some time now", Hohns said.
"We still view Matthew (Renshaw) as a player of huge talent but he is out of form at the moment and we don't feel an Ashes Test match is the best place for him to find form".