HSBC's Green likely to step down as chief

London: HSBC Holdings Plc Chairman Stephen Green plans to step down and become trade minister for the UK government, according to a person with knowledge of the talks.

The London-based bank may announce Green's decision as soon as late last night, said the person, who declined to be identified because the talks are private.

Green, 61, is leaving HSBC as UK government commission considers whether lenders should separate their consumer and investment banking divisions. Barclays Plc, Britain's third-largest bank, yesterday said Bob Diamond, head of its investment banking arm, will replace John Varley as CEO next year.

HSBC "will be looking to balance out the board between having a British CEO and non-British chairman or vice versa,' said Colin Mclean, who manages $999 million (Dh3.66 billion) at SVM Asset Management in Edinburgh, including HSBC shares. CEO Michael Geoghegan, who is British, and former Goldman Sachs partner John Thornton are "viable" candidates to succeed Green, Mclean said.

A spokesman at the bank in London declined to comment. Thornton, who's based in New York, couldn't immediately be reached. Geoghegan, who replaced Green as CEO in 2006, declined to comment through a spokesman.