John Hall has resigned from Levy Board UK, where he was leading efforts to reform the levy system in the horticulture sector.

Hall blamed his resignation on a whispering campaign, which followed the failure in 2005 of his nursery company Needham Growers.

"In early April, an anonymous letter went around repeating the Needham story and questioning my appointment to Levy Board UK," he said.

"I ignored it to begin with, but found the letter came up every time I had a meeting with people in the industry. It got in the way of the job."

Hall was appointed in February as shadow chairman of the nascent horticultural sector company, which will replace the Horticultural Development Council in April 2008.

The post gave him a seat on Levy Board UK, which is co-ordinating the overhaul of the whole agricultural levy system.

An interim chairman will soon be announced.