DAVID NORGROVE, the Marks & Spencer director of clothing, will be paid at least £330,000 to quit after total sales within his division plunged 3.3 per cent over the 15 weeks to January 10.

Mr Norgrove — who was described as a sacrificial lamb for the City — was one of Marks & Spencer’s longest-serving executives.

His departure comes amid speculation that Vittorio Radice, who was brought in to head Marks & Spencer’s yet-to-be-launched home division just a year ago from Selfridges, is considering leaving to become chief executive of Gucci, the Italian luxury brand.

Analysts claimed yesterday that given the appalling performance of Marks & Spencer’s old home products business, Mr Radice’s departure could be a blessing. They said that it may stop the group investing further to build a costly standalone home furnishings chain.

Analysts said that Mr Norgrove, a former civil servant who has been with the company for 16 years, was a “sacrificial lamb” offered to investors because Marks & Spencer’s recovery in clothing had stalled this year.

The retailer has appointed Egon Zehnder, the head- hunter, to find a replacement.

Executives believed to have been approached to replace Mr Norgrove include Stephen Sunnucks, head of New Look, Belinda Earl, the former head of Debenhams, and Kim Winser, chief executive of Pringle, the luxury knitwear brand.

Analysts also speculated that Andy Bond, managing director of George, Asda’s clothing division, and Michael Sharpe, trading director for Debenhams, were also likely to have been approached.

However one senior retail figure said: “There are plenty of potential candidates, but the question is who would want to take it on.

“They are clearly having trouble finding someone and are now looking outside the UK.”

Mr Sunnucks is thought to be the most likely candidate, but he is embroiled in takeover negotiations with New Look’s founder, Tom Singh.

Analysts said that Ms Earl, the City’s favourite candidate, was unlikely to move to Marks & Spencer because of the heavily bureaucratic nature of the group’s operating structure.

One former Marks & Spencer executive said: “Roger Holmes has failed to cut into the enormous bureaucracy and, as Vittorio has found, anyone going there can find themselves up to their armpits in super-glue.”

Board moves

January 2004: M&S announces that David Norgrove is to leave.