Southern Cross chief to stand down with no severance pay

The chief executive of failed care home operator Southern Cross is to step down, the company's board said.

Jamie Buchan joined the company in 2009 with the task of turning it around.

The board said his anticipated departure was "part of the financial restructuring of the group" and would happen "once the process of transitioning homes is well advanced".

They added that Mr Buchan had chosen not to take severance pay. The package on offer was reportedly worth £500,000.

Chairman Christopher Fisher said: "Jamie Buchan's decision not to take compensation when he steps down as chief executive later in the restructuring process is entirely consistent with the tireless and selfless approach he has adopted while leading the management team at Southern Cross."

In February Buchan also agreed to cut his salary by a fifth to £344,000.