KPMG International elected Timothy Flynn, a veteran of the accountancy firm, as its new chairman to succeed Sir Michael Rake who is leaving to become chairman of BT Group.

Mr Flynn, chairman and chief executive of KPMG in the US, a position he will retain, was elected unanimously by the KPMG International Board and Council, the firm said.

He will be in charge of the 113,000 employees and partners working in KPMG member firms in 148 countries.

Mr Flynn, 50, who has been at KPMG for 28 years and a partner since 1988, previously served as vice chair of Audit & Risk Advisory Services for KPMG in the US and had operating responsibility for the firm's audit practice as well as its risk advisory services and financial advisory services practices.

He was also head of human resources and global managing partner, Audit, for KPMG International.

"I look forward to building on the achievements attained by Mike Rake – as well as addressing the challenges we face in this extraordinary time of continued change for the accounting profession," Mr Flynn said in a statement.

“Looking ahead, the top strategic issues we’re confronting remain across the global landscape. With increasingly complex transactions and an intensified regulatory and reporting environment, KPMG will remain focused on the development of its people and a global culture based on ethics, integrity and professional excellence – above all else. We never lose sight of the important role that auditors play in ensuring the integrity of the global capital markets and protecting investors.”

Times Recommends

• Lies and cover-up at MG Rover exposed by report
• High oil prices push manufacturing costs up
• Primark founder steps down as chief executive