Newsnight's Richard Watson: "The top job at the BBC proved too tempting to resist"

But concerns still exist that his links with the Labour Party will prejudice the political impartiality of the BBC.

Dawn Airey, director of programmes at Channel 5, worked with Mr Dyke during his time at the fledgling terrestrial channel and said he was an extremely bright individual.

Full metal jackets

She warned BBC bureaucrats would suffer under Mr Dyke.

Andrew Neil, publisher of The Scotsman: "Probably the most powerful job in European broadcasting"

"He hates bureaucrats and layers of consultants," she told the BBC Newsnight programme. I imagine there are going to be a few people who have got their full metal jackets on in anticipation of what will hit them."

Ms Airey said she hoped he would be ruthless in making the Corporation truly efficient. "If you slash bureaucracy you can spend more money on the services that matter."

She predicted he would push for an "accessible schedule" within the public service remit. Andrew Neil, journalist and broadcaster and a rival candidate for the job, said Mr Dyke was the ideal choice, again due to his loathing of red tape.

'Destructive act'

"This huge management superstructure which devours so much of the BBC's resources may well find trouble on its hands," he said.

Hugo Young, columnist on The Guardian, told Newsnight he was concerned that Mr Dyke's political affiliations with New Labour would destroy the BBC's impartiality.

"It is a destructive act," he said. "It's no good saying he has severed his links with Labour. It is totally inappropriate."

Andrew Neil: Gracious loser

But he was opposed by Labour MP Gerald Kaufman, who heads the Commons culture committee. People in this country aren't political eunuchs, they have all got political affiliations," Mr Kaufman said. "Greg Dyke is a professional who will do a professional job and God knows the BBC needs it."

Mr Kaufman said he felt strongly that the BBC should invest further in its Internet services such as BBC News Online and bid once more for major sporting events, instead of spending money on digital TV channels like BBC News 24.

"What it now needs is a strategy - it hasn't had one so far and I look to Greg Dyke for that," he added.

Torin Douglas: "He will find it hard to live the rodent down"

BBC Media Correspondent Torin Douglas said Mr Dyke would find it hard to leave behind the image of Roland Rat, the puppet he brought in at TVAM to boost ratings. But he added the BBC would be able to move forward now a new DG had been chosen.