Henry Bolton was ousted as UKIP leader at an emergency general meeting of the party last month after members backed a vote of no-confidence in him over leaked racist messages sent by his glamour model girlfriend Jo Marney.
Bolton said his new OneNation party would "campaign unceasingly for our full independence from the European Union (EU)".
"There is an urgent need for a new way of doing politics that truly involves communities," the 54-year-old former army officer said.
"There is a need for a truly professional political party that believes in Britain, that preserves our national identity, culture, heritage and confidence and talks our great nation up rather than down, a party dedicated to the full independence of the UK in all areas of law, government and public administration," he said, adding that his new party's structures and management will mirror some of the changes that he had sought to bring to UKIP before being sacked.
Meanwhile, UKIPs former Brexit spokespersonGerard Batten has taken over as interim leader, with a UKIP leadership election due within 90 days.
Boltonhad faced calls to go after it emerged he was in a romantic relationship with Marney, a model 29 years his junior who had described black people as "ugly" and said Prince Harry's mixed-race fiancee, Meghan Markle, would "taint" the royal family, paving the way for a "black king".
The married father of two, who reportedly walked out on his family over Christmas last year, had suffered a string of UKIP resignations following the leaked texts.
The party's national executive committee expressed no confidence in him last month, triggering the no-confidence motion which is lost 867 votes to 500.
Bolton's exit left UKIP is seeking a new leader in the space of 18 months after Nigel Farage, Diane James and Paul Nuttal.
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