John Clare, the chief executive of DSG International, the owner of Currys, Dixons and PC World, yesterday announced his plans to retire in September after 22 years with the business. The electricals retailer said it expected to announce a replacement “within weeks”, suggesting that it already has a successor lined up.

Retail sources said that Kevin O’Byrne, DSG’s finance director, is a prime candidate, given his experience in running the firm’s European computing division.

Other likely contenders include Keith Jones, who runs DSG’s PC World chain, and Per Bjørgås, who is responsible for the group’s electricals stores worldwide. External candidates are thought to include Trevor Bish-Jones, the boss of Woolworths and a former Dixons executive, and Richard Baker, the Boots chief.

Mr Clare, who will formally step down at the company’s annual meeting on September 5, said: “I feel the group is ready to drive through the next phase of its own life. A number of significant building blocks have been put in place, particularly around European expansion and e-commerce. We are now at the beginning of what will be four to five years of growth and it is right, as I am not going to be around in three to five years’ time, for somebody else to drive into that space.”

He said he would be looking for a new role but had no specific plans. He denied having been pushed out by the board.

Mr Clare is leaving after a tough year for DSG during which it was forced to close its French PC City stores, found fraud at a warehouse connected to its Pixmania internet arm and profits were hit by poor trading in Italy.

Mr Clare, who has been chief executive for 13 years, said he had wanted to retire last year but had been persuaded to stay on a little longer.

During his tenure, Mr Clare developed the business from a UK retailer into a global company with a leading market position in Europe.

He has also been credited with building up the retailer’s internet operations while simultaneously growing profits at the retail chain.

Another milestone was the creation of Freeserve, its internet portal, and Mr Clare also laid the foundation for the concept of the PC World stores, which allowed customers to access to a burgeoning PC marketplace. He also centralised the company’s operating structure to maximise efficiencies.

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