Dick Kovacevich will step down as chairman of Wells Fargo at the end of this year, allowing his successor as chief executive, John Stumpf, to consolidate his power at the bank, and bringing to a close one of the most remarkable careers in the banking industry over the past quarter century.

Mr Kovacevich’s departure, announced on Tuesday, signals that the Wells Fargo board is satisfied with the progress being made with the integration of Wachovia, which Wells acquired last year in a distressed sale. At the time of the deal, Mr Kovacevich was about to step down as chairman, but the Wells Fargo board asked him to stay on to help with Wachovia.