The Catholic archbishop of Adelaide, Philip Wilson, will step down from his position after being convicted of covering up child sex abuse by a paedophile priest.

Archbishop Wilson became the highest ranking Catholic official to be convicted of the offence when an Australian court found him guilty on Tuesday. He faces up to two years in prison after a judge found he had known about allegations that former priest James Fletcher had abused children but dismissed them to protect the Church's reputation.

Wilson has now said he will step down from his duties on Friday but not formally resign. He has not clarified whether or not he will appeal Newcastle Local Court's decision.

'It is appropriate that, in the light of some of his Honour's findings, I stand aside from my duties as archbishop,' he said in a statement released on Wednesday.

'If at any point in time it becomes necessary or appropriate for me to take more formal steps, including by resigning as archbishop, then I will do so.'

Wilson has denied the charges, saying he had no memory of a conversation with one of the victims, a former altar boy Peter Creigh, who told the court that he had described the abuse in detail to Wilson in 1976, five years after it had taken place.

Wilson told the Newcastle Local Court that he had no knowledge of the actions of the priest, James Fletcher. They took place when Wilson was an assistant priest in Maitland, 130km (80 miles) north of Sydney.

Fletcher was later convicted of nine child sexual abuse charges in 2004. He died in prison in 2006.

Wilson's claims that he had no memory of the conversation were rejected by Magistrate Robert Stone, who said he found Creigh to be a reliable witness.

Magistrate Stone said the priest knew 'what he was hearing was a credible allegation and the accused wanted to protect the Church and its reputation'.

Another victim, who cannot be named for legal reasons, told the court that he disclosed the abuse in the confessional box when he was aged 11. He said that Wilson told him he was telling lies and to recite 10 Hail Mary prayers as punishment.

Wilson will be sentenced in June.