The businessman nicknamed the “Prince of Darkness” by unions for his cost-cutting techniques has been named chairman of the Australian media company founded by Kerry Packer.

Tim Parker, a former chief executive of Clarks, the shoemaker, joined the board of PBL Media six months ago and now has replaced Adrian MacKenzie.

This year Mr Parker, 53, resigned as First Deputy Mayor of London, with a nominal annual salary of £1, after apparently clashing with other senior advisers at City Hall.

“Throughout my business career I have been accountable to exacting shareholders. In my new role, my shareholders will be the taxpayers of London,” he said when he was appointed as Boris Johnson's right-hand man. It was felt by some critics that he may use the position as a platform to build a political career, but it appears that he soon realised he felt more comfortable in the corporate world.

PBL Media - which owns the Nine television network and ACP magazines - is 75 per cent-owned by CVC Capital Partners, one of the world's largest private equity firms, and 25 per cent by James Packer's Consolidated Media Holdings.

Mr Parker was chief executive of the Automobile Association, where he halved the 7,000-strong workforce, and of Kwik-Fit, the car components group, both CVC portfolio companies. He has also been a director of Compass, Alliance Boots, Legal & General and CDC Group.

Mr Parker said: “PBL Media is a dynamic business with a proven management team. We are committed to making a success of the investment, which is performing well in a difficult economic environment.”

PBL Media has been plagued by rumours in recent weeks that it is struggling under huge debt. It borrowed just under A$4billion to buy its initial stakes in Nine and ACP in 2006.

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