A select committee of peers will decide how to choose a new "speaker" of the House of Lords.

The announcement was made on Wednesday by Lord Williams of Mostyn, the leader of the Lords.

Following a week of consultations it is hoped that the new committee will reach a consensus on procedures for choosing a replacement for Lord Falconer.

The prime minister has said that the new secretary of state for constitutional affairs should spend his time managing the country's court system rather than chairing business in the House of Lords.

And speaking last week, Lord Williams said the current situation was untenable. "It is in our view not appropriate for a government minister to be the speaker of an independent legislative chamber," he said.

"If he has powers, there is a conflict of interest, real or apparent, every time he exercises them. If he has no powers, in this age it is a curious use of his time."

Lord Williams also said that ministers were prepared to move swiftly if that was "the mood of the House".

Any reform plans would have to be put to the Lords procedures committee for consideration, before being voted on by peers.

"If I put proposals to the procedure committee, it is not bound to commend them to your Lordships," said Lord Williams.

"If it does, the House may amend or reject them, as it has in the past."

Williams has warned that the prime minister would be prepared to choose a new chairman for the upper house if peers were unwilling or unable to agree to a new system for selection.