Asda confirms operating officer as its new chief

Mr Clarke, 46, Asda's chief operating officer, was seen as the natural heir to take on the role following the surprise announcement last month that chief executive Andy Bond wanted to step up to a part-time chairmanship role.

Last week Mr Clarke's only serious rival, trading director Darren Blackhurst, left the company and other potential candidates have also ruled themselves out.

Leeds-based Asda, the UK's second-biggest supermarket group behind Tesco, grew strongly throughout the recession, benefiting from its reputation for low prices. But it has lost market share in recent months as consumers have starting treating themselves again.

Earlier this month it launched a price guarantee scheme which will refund shoppers if they can find their groceries cheaper elsewhere.

Mr Clarke, who is taking up his new role immediately, joined Asda in 1992.

He left between 2001 and 2005, when he held senior roles at discount fashion chain Matalan and frozen food specialist Iceland, before returning as retail director. He became chief operating officer in 2007.

He started as an Asda store manager in Edinburgh before taking on director roles in frozen food, bakery and produce.

Andy Bond said: "I am delighted to appoint Andy Clarke to be my successor. He was clearly the right choice from the internal and external candidates we considered."

Doug McMillon, president of Asda's American parent company Wal-Mart, said: "Andy knows the company, our colleagues and he cares about our customers. He is the ideal person for the job and this will be a seamless leadership change."