Mike Yardley to step down as Royal London chief

Yardley, who has been in the top post at Britain's biggest mutual life and pensions business for more than 12 years, said he had decided "the time is now right" to move on. He will head the group until a successor has been appointed.

Royal London said a firm of recruitment specialists had been hired to "identify potential candidates" for the role. No timetable has been laid out for the hiring process.

A spokesman for the firm said both internal and external candidates would be considered.

Likely successors to Yardley, 53, from within Royal London include finance director Stephen Shone; the head of Royal London Asset Management, Andy Carter; and the boss of the group's intermediary division, John Deane.

Royal London employs almost 3,000 staff, including some 1,300 in Scotland, with a further 300 jobs north of the Border outsourced to Capita. Its brands include Scottish Provident and Bright Grey.

Yardley said: "Having been chief executive of Royal London for over 12 years, I've decided the time is now right for me to announce that I will be leaving the company once my successor has been appointed.

"I am confident that Royal London is in an excellent position to continue to grow profitably for the benefit of our members."

Highlighting Yardley's track record holding the reins, chairman Tim Melville-Ross said: "Royal London has now become a strongly capitalised, diversified group offering quality products and services.

"(The group], its customers and members have every reason to be grateful for what he has achieved."

Yardley, who took home 1.25 million last year including a basic salary of 570,000, will not receive any "golden goodbye" package.

He added: "I hope to use my experience to help the life assurance and asset management industry tackle the many challenges ahead."

Yardley has previously been a member of a Financial Services Authority working party reviewing the distribution of investment products.

The resignation announcement comes just days before the mutual releases its interim results. A sales update last month revealed a sharp rise in new business at the core Scottish Life arm.