Rupert Murdoch steps down from Sky chair

Rupert Murdoch has announced that he will step down as chairman of Sky.

His son James, currently the satellite broadcaster's chief executive, will succeed him as non-executive chairman and has been promoted to oversee all of News Corp's media assets in Europe and Asia - including the conglomerate's UK newspapers.

Sky's current chief financial officer Jeremy Darroch has been appointed chief executive, and a search is now underway for a replacement CFO.

In a statement on behalf of Sky's board of directors, senior independent non-executive director Nicholas Ferguson said: "With these changes, the Board has taken action to ensure continuity of world-class leadership at Sky. Jeremy has played a crucial role in the company's transformation. He is the first Chief Executive to be appointed from within Sky and is the unanimous choice of the Board to lead the company's continued growth. Under James and Jeremy, Sky has accelerated its rate of growth and, with the outstanding management team in place, is prospering in both entertainment and communications.

"We are delighted that James has accepted the appointment as Non-Executive Chairman. The Board is committed to high standards of corporate governance and seeks to comply with the Combined Code. We are well aware of its terms with respect to independence. Sky has strong Independent Directors and we were quite clear that our overriding duty in selecting a Chairman was to do what was in the best interest of the Company and its shareholders. We were unanimous in our decision that the appointment of James meets this key test given his deep knowledge and understanding of the strategic issues facing the Company and the industries in which we operate, his commitment to Sky, and the continuity this provides.

"Under the leadership of Jeremy, and with James as Non-Executive Chairman, this is the right, strong team to take Sky forward with an effective strategy for growth in the fast changing media and communications marketplace.

"Finally, on behalf of the whole Board and the shareholders, I would like to express our warmest gratitude for, and pay tribute to, the unparalleled contribution made by Rupert Murdoch over the last eighteen years. His spirit and vision have been instrumental in building one of Britain's great companies."