IAN RUSSELL, ScottishPower’s chief executive, is determined to see through the sale of PacifiCorp, its American subsidiary, but investors do not expect him to stay in place for more than a year.

Russell, who shocked the City with the $9 billion sale to a Warren Buffett company last week, acknowledged in an interview with The Sunday Times that whether he survived was not his call. “It’s for other people to decide,” he said.

The Glasgow-based utility, whose shares were marked up on the announcement, is now seen as in play, although any bid will require detailed regulatory scrutiny. Likely predators include Centrica — which last year shied away from an approach because of the “American problem” — the Perth-based rival Scottish and Southern Energy (SSE) and the German power group Eon.

One insider close to SSE said the group would wait and see before making any move. “Just because the man in the hole has stopped digging doesn’t mean you jump in after him.”

Russell, who was finance director at ScottishPower before becoming chief executive, is being held directly responsible by investors for the strategic U-turn.

“He bought it and he sold it,” said one of ScottishPower’s top five investors. “Maybe he has another 12 to 18 months left, after which I expect him to make an elegant exit. If he doesn’t I think shareholders would be looking to make the push.”

The sale, to Warren Buffett’s MidAmerican Energy, followed a secret strategic review of the PacifiCorp business, which found it required $5 billion capital expenditure over the next five years. After returning cash to shareholders, ScottishPower’s market cap will fall to below £6 billion, against SSE and Centrica at more than £8 billion.

The Glasgow board will also be shaken up, with four American directors likely to leave, and further cutbacks likely in the corporate office as the international business reverts to domestic.

Former colleagues in Glasgow said Russell will take it personally. “He will be hurt, but he will see the deal through.”

Another investor said it had been “a big surprise — but positive.” However, he disputed the decision by ScottishPower to retain a foothold in America with wind farm specialist PPM Energy, and suggested it would also be sold. “If you’re going to exit the US, then for God’s sake exit the US,” he said.

ScottishPower’s management had completely lost credibility, he said, and future plans would be closely scrutinised. “You cannot give these guys the benefit of the doubt any more — unlike SSE. Now (Ian) Marchant (SSE chief executive) — you can trust him.”

Separately, the European commission is to launch the largest investigation ever into possible abuse of the continental gas and electricity market.

Sir John Mogg, chairman of regulator Ofgem, who has personally lobbied for the move, said: “I think they will identify distortions in competition.

“I expect abuse to be found, you do not need to be a genius to look at the European market and find problems.”