Flutter Entertainment, the FTSE 100 gambling group, has begun approaching candidates to become its next chairman.

Sky News understands that Flutter, whose brands include Sky Bet and Paddy Power, has hired Russell Reynolds Associates, the search firm, to identify a successor to Gary McGann.

City sources said the company hoped to name Mr McGann's replacement later in 2023.

The search will represent the latest boardroom change at a company which now has a market value of almost £20bn, placing it among the 30 largest listed companies in Britain.

Flutter recently named Paul Edgecliffe-Johnson as its new finance chief, replacing Jonathan Hill.

The company is run by Peter Jackson, the former Travelex and Worldpay executive.

Holly Keller Koeppel, Flutter's senior independent director, is leading the search for the company's next chairman.

Mr McGann joined the Flutter board in November 2014, meaning he would no longer be deemed independent under the City corporate governance code by the end of this year.

Andy Higginson, the former Tesco executive, had been touted as a potential long-term replacement for Mr McGann several years ago but he stepped down from the Flutter board last year, opting to become chairman of JD Sports Fashion, the retail group.

A Flutter spokesman declined to comment.