Philip Sugarman, the departing chief executive of St Andrew's Healthcare, was paid £285,000 in salary, £389,000 pay in lieu of notice and £76,000 as compensation for loss of office, the charity’s accounts reveal.

He stepped down for health reasons at the end of February 2014 and the charity’s chief operating officer, Warren Irving became acting chief executive until Gil Baldwin was joined as chief executive in July.

A spokeswoman for St Andrew's Healthcare said: "Professor Sugarman left our employment in February on health grounds. Due to his seniority, his notice period was longer than for other executives."

Sugarman had taken a 50 per cent pay cut after stepping down from the role of medical director which he had previously held in addition to being chief executive. His remuneration package in 2012/13 totalled £163,000.

The charity had 139 people earning more than £60,000 in 2013/14.

St Andrew’s saw its income rise from £178m to £189.4m. Spending was £168.9m in 2013/14, meaning the charity ended the year with a surplus of £20.5m.

It also launched a £23m capital investment programme “to reconfigure the existing estate and refurbish some of the older wards”.