Mr Khan is currently embroiled in a stand-off with Dame Cressida over a potential £400,000 payoff as her employer after criticising her failure to get to grips with a series of sexism and racism scandals.
He has said that he had a “duty to act decisively” in forcing Dame Cressida to resign, adding that he will oppose any new commissioner if they do not accept the “deep cultural issues” within the force.
“It’s my job as mayor to hold the police to account on behalf of Londoners,” said Mr Khan.
The new law will amend section 38 of the Police Reform and Social Responsibility Act 2011 so that PCCs can no longer hire and fire at will if their relationship with their chief constable breaks down.
They will be required to give the chief constable written notice and their reasons as the first stage of any dismissal process, and a right to reply. The changes will introduce a time limit on any suspension of the chief constable, while an arbitration mechanism will be introduced.
“At the moment, the PCC can hire and fire at will. This is about getting a rigorous and transparent process so that police chiefs know they cannot just get sacked for political reasons,” said a Government source.