The chief executive of Northumberland Council is set to step down on ill health grounds, just weeks after a corporate governance review called for her to go.

Chief executive Daljit Lally will receive a cash payment of £209,000 as she goes on 31 July. The council has also waived its right to claim back ‘unlawful' allowances paid to Ms Lally, but will seek to recover £79,032 tax and pension costs.