Gavyn Davies, managing director of Goldman Sachs and good friend of the Labour chancellor Gordon brown, is now the vice-chairman of the BBC in London.

A Downing Street spokesman said Mr Davies will take up his four-year, part-time post from January 1, 2001.

Norman Baker, Liberal Democrat culture spokesman, said last night: "It will be difficult for the BBC to maintain its principle of impartiality and ward off accusations of cronyism when it appoints someone so closely aligned to one party. Coming after the appointment of Greg Dyke last year, it looks like New Labour, New BBC."