Ridsdale quit as chairman of Leeds just over two weeks ago after coming under increasing pressure from fans following the sale of several key players and an alarming slide towards the bottom end of the Barclaycard Premiership.

His successor as Elland Road chairman, John McKenzie, revealed Ridsdale would pursue other business activities.

In a statement McKenzie said: “Peter has other business interests that he wishes to pursue and we have agreed that it is in the best interests of both parties that he stands down from the board of Leeds United and of the football club.”

Today’s announcement marks the end of a turbulent time for Leeds. From topping the Premiership in January 2002, the club have experienced a rapid decline.

David O’Leary’s sacking last summer for spending big and not reaping the rewards on the pitch began a period of turmoil which saw club captain Rio Ferdinand demand a transfer to Manchester United before the start of the season.

His eventual £30m move was expected to appease the board, who were concerned about the financial effects of O’Leary’s £100m spending spree, but further departures were to follow as Leeds fans saw key players sold off from under the nose of new manager Terry Venables.

After shareholders re-elected Ridsdale as Leeds chairman by a record majority in November, he pledged to bring a period of stability to the club.

However, nothing could have been further from the truth as the issue over O’Leary’s severance settlement – believed to be a seven-figure sum – rumbled on for several months before the final straw for many fans came with the sale of Jonathan Woodgate to Newcastle.

Despite receiving assurances from Ridsdale that no other players were due for the exit door, Venables then saw his star defender Woodgate offloaded to St James’ Park for £9m.

The supporters vented their anger at Ridsdale, who they blamed for sanctioning the clear-out, but as the club continued to slide perilously close to the relegation zone one further cull was to follow.

Venables was sacked last month as he paid for poor results and the immediate appointment of former Sunderland boss Peter Reid as caretaker manager soured Ridsdale’s relationship with the fans further.

The final blow for Ridsdale’s reign as chairman of the club came when just over two weeks ago he was forced to announce the club had slipped £79million into debt. He resigned as chairman on the same day.