Retailer Mothercare, which has been rocked by falling sales and profits, today revealed its search for a chief executive was over.

The mother and child chain has appointed Ben Gordon, who will take up the role later this year from The Walt Disney Company.

Mr Gordon, 43, is currently managing director of Disney Store in Europe and Asia Pacific.

He will replace Chris Martin, who left in July after Mothercare warned of a downturn in trading and forecast a slide into the red for the first half.

The group said anticipated improvements in sales since May had not taken place, while markdowns to clear surplus stock in the supply chain had hit margins.

Total sales in the 14 weeks to July 12 fell 2.7 per cent while like-for-like sales in the UK were 3.1 per cent below the same period a year ago.

Mr Martin became Mothercare chief executive in May 2000 when it was split from Bhs by parent company Storehouse.

The retailer had been on the rise until problems at a distribution warehouse hit stock availability in the run up to the crucial Christmas trading period.

Since Mr Martin's departure, the group has been linked with retail veteran Terry Green, former Bhs chief executive.

Reports said he and his new management team would receive a 12.5 per cent stake in the business in return for a substantial investment.

It was also thought he would take on the chief executive role.

Mr Gordon called the move a great opportunity.

He joined Disney Store in 2000. Previously, he was at WH Smith.

Mothercare also confirmed today Ian Peacock, who was made non-executive director last month, would become chairman on November 1.

Former incumbent Alan Smith left at the same time as Mr Martin. Mr Peacock is currently non-executive chairman of MFI and a non-executive director of Norwich and Peterborough Building Society.