Corus boss Sir Brian Moffat has sparked widespread delight by announcing he is to step down as chairman and interim chief executive.

His departure was no great surprise - he had indicated he would retire when a replacement could be found - but the timing was seen to be crucial.

The news on Wednesday night came a week and a day after steel workers nationwide downed tools and brandished red cards demanding Sir Brian's resignation.

Philippe Varin, 50, will take over as chief executive after being lured away from his role as senior executive vice president of French group Pechiney. His new chairman will be Sir Brian's former deputy, Jim Leng.

Sir Brian is widely seen to be the architect of widespread redundancies.

He collected an enormous salary - topping £550,000 at its peak - while never once delivering a profit.

Workers, politicians, business leaders and union representatives united in thanks.

Barry Heseltine, steelworker at Corus's Redcar plant, said: "This is a chance to sweep out the old and start anew. But we are reserving judgement until we see what they have to say."

Middlesbrough South and East Cleveland MP Ashok Kumar said: "The past leadership of Corus has been - in the main - negative and backward looking. I hope the new team will make the changes needed to inspire new confidence."

Alistair Arkley, chairman of the Tees Valley Partnership, said: "I believe there will be a huge sigh of relief throughout the Tees Valley that the controversy surrounding the management policies and personalities of recent years is hopefully coming to an end."

David Walsh, leader of Redcar and Cleveland Borough Council, said: "We will certainly be making the case to the new chairman and chief executive that its Teesside operation is one of the most efficient areas of the business and must continue to play a central part in its future plans."