The founder and chairman of luxury leather goods company Mulberry, Roger Saul, on Wednesday agreed to step down amid pressure from major shareholder Challice for him to quit.

Mr Saul will now become president and non-executive director of the Bath-based company which said it sees the move as being in the firm’s "best interests".

Deputy chairman and COO Godfrey Davis, who will take over as chairman and chief executive said: "I am glad that the problem between Challice and Mulberry has been resolved."

Challice, which is the investment vehicle of Singaporean billionaire Christina Ong, added: "We do not seek control of Mulberry and the restructured management team has our full support."