Mr Lloyd (above), who was on a three-year rolling contract, was paid pounds 240,000 last year, but it is understood he will not receive compensation for loss of office. He netted more than pounds 20m for his 8.5 per cent stake and received share options when he sold out to Whitbread in August 1995. He is believed to have been unhappy with his role at David Lloyd Leisure.
Earlier this year, Whitbread wrote to Mr Lloyd asking him to clarify his position after remarks in the press heightened speculation there was a rift between him and the senior management team.
Earlier this month Mr Lloyd joined the board of golf club operator Clubhaus.