The chief civil servant in the Department of Health has stepped down after just over two years in the post and is moving a new job.

Health Minister Leo Varadkar has announced that Ambrose McLoughlin, who was appointed Secretary General of the Department by James Reilly in April 2012, is moving to a new role supporting the implementation of the Healthy Ireland initiative ahead of his retirement next year.

A Department of Health statement said the move was agreed by the Minister and the Secretary General ahead of the latter's retirement next June.

Minister Varadkar paid tribute to Mr McLoughlin for piloting the Department through one of the most challenging periods for the health sector.

Mr McLoughlin was the first person to be appointed Secretary General from outside the Department. He was previously registrar of the Pharmaceutical Society and CEO of the North Eastern Health Board. He originally worked as a dentist.

He has served as Chairman of the HSE during his tenure as Secretary General

At the time of the appointment, Minister Reilly said it would have an invigorating effect on the Department.

Mr McLoughlin's caused controversy at a meeting of the Public Accounts Committee last year after stating he was legally precluded from answering questions on Government policy.

Earlier this year, the chair of the PAC John McGuinness was criticised after he called for both Mr McLoughlin and HSE chief Tony O'Brien to resign due to issues with health overspending and medical cards.

Mr McLoughlin said today it had been a privilege to serve as Secretary General.