BBC Creative Director Alan Yentob is to step down, the broadcasting corporation has announced.
It comes after Mr Yentob, who was the chairman of trustees of the now defunct charity Kids Company, had faced criticism amid claims he tried to influence coverage at the corporation of its troubles.
Kids Company closed in August after allegations of mismanagement days after receiving a £3 million grant in a final bid to keep it afloat.
The BBC is going through particularly challenging times and I have come to believe that the speculation about Kids Company and the media coverage revolving around my role is proving a serious distraction.
"I love the BBC and will continue to do everything I can to ensure that it thrives and fulfills the great expectations we all have of it", Mr Yentob added.
Kids Company founder Camila Batmanghelidjh told ITV News she was "so sorry" to hear about Mr Yentob's resignation and that he "would die for the BBC".
In a statement, director-general of the BBC, Tony Hall hailed Alan Yentob's "extraordinary roll-call of achievement".
He added: “For the record, BBC News considered whether Alan Yentob had influenced the BBC’s journalism on the reporting of Kids Company. They concluded that he did not. Despite that, I understand his reasons for stepping down as Creative Director."