John Clare, the chief executive of Currys, Dixons and PC World retailer DSG International, plans to retire in September after 22 years with the business.

Mr Clare, who joined as marketing director of the Dixons chain in 1985, said: “I feel it is time to pursue other interests and hand over the leadership for the next phase of the group’s development.”

The 56-year old added: “I have particularly enjoyed working with many outstanding and committed colleagues and am proud of what we have been able to achieve during that period.”

Mr Clare will formally step down at DSG’s annual general meeting on September 5. He has been in the chief executive role for 13 years, making him the fourth longest-serving chief executive in the City.

In a short statement, DSG said it had already begun the search for a successor and hoped to make an announcement shortly.

A spokesman said: “It would be realistic to assume we will able to announce John’s successor in a matter of weeks.”

News of the decision comes just a fortnight after DSG warned it would be taking a one-off charge of up to £200 million in its upcoming annual results to cover the cost of its loss-making operations in Italy and France.

The group, renamed DSG when Mr Clare announced plans last year to make Dixons an internet-only brand, has seen problems at its UniEuro business in Italy overshadow strong growth on the UK high street.

DSG also has to make a decision whether to take up a $1.9 billion (£965 million) option to acquire Russia's Eldorado, the country's largest electrical retailer. The group has to invest $190 million by the end of the year or the option expires.

Industry experts have suggested this year would be the most challenging in Mr Clare’s tenure. DSG today said sales in the past month have “shown encouraging progress year on year” across the group.

Mr Clare began his career at Mars in a marketing role, before joining the Ladbroke Group. He was appointed managing director of the Dixons chain in 1986 and joined the board of the Dixons Store Group in 1988 on the integration of Currys.

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