Colao is not expected to be paid as much as Horn-Smith, who retired on a basic salary of £1m, but he will be among Vodafone's higher-paid directors, probably collecting at least £800,000 before any kind of bonus or share incentive scheme.

His full pay will not be revealed until next year's annual report. Nor would Vodafone comment on whether he will receive any money to move back to the UK.

Playing down any suggestion of Sarin anointing his successor, a Vodafone spokesman said: 'Vittorio is becoming deputy chief executive-because that post has been vacant since Horn-Smith's retirement. It is an important position, particularly in Europe where there is a much greater need to sit down and talk with regulators, politicians and other stakeholders than there might be in other parts of the world.