Lyons tipped to become new BBC chairman

Sir Michael Lyons, who last week published his report on Council Tax, is on the shortlist to become the new chairman of the BBC.

The corporation’s supervisory and regulatory body, the BBC Trust, has been without a chairman since Michael Grade left for ITV before Christmas.

An anonymous trust member confirmed that Sir Michael, an ally of chancellor Gordon Brown, has been shortlisted for the position.

Sir Michael is chairman of the English Cities Fund and the City Of Birmingham Orchestra and works in the office of the Prime Minister.

Chris Powell, chairman of left-wing think-tank the Institute of Public Policy Research is also rumoured to be in the running for the post.