Lorna Caldicott, the headteacher who improved the fortunes of Peers School, has been head-hunted to lead a new academy - after missing out on an identical post in Oxford.
In July, Mike Reading, a grammar school head from Lincolnshire, was named as principal designate of the Oxford Academy, which is expected to replace Peers School in Littlemore, once plans are fully approved.
Mr Reading was selected for the £100,000-a-year job ahead of Mrs Caldicott, who lost out after making it into the final two.
She told the Oxford Mail she had resigned as headteacher of Peers and expected to leave the school on December 31 - to head up a new academy in Milton Keynes.
Mrs Caldicott said she would have liked to have been allowed to stay on at Peers to "finish what she had started", but added that she understood that academies often wanted to appoint new headteachers.
She said: "Being head at Peers is one of the best jobs I have ever had in schools - I have loved every minute of it, but the next phase will be led by someone new.
"I wish everyone associated with Peers the very best of luck for the future and I hope the new academy goes well.
"The school will need to appoint an interim headteacher from January and the board of governors have been working out a strategy to appoint the best person.
"I hope that appointment is made as soon as possible."
Mrs Caldicott has been praised by governors and parents alike for turning around the school, which came out of special measures in January this year.
They said they were dismayed she did not get the job. Under the academy proposals, Peers is expected to close next summer and reopen in September 2008 as the Oxford Academy, if the Diocese of Oxford, the lead sponsor of the £30m project, sees its plans approved by councillors this month.
Mrs Caldicott said she would take up her post as principal designate of the new academy in Milton Keynes in January.
She added: "I am not bitter at all about the way things have worked out and I am looking forward to starting the new post."
Andrew Parsons, chairman of governors at Peers School, described Mrs Caldicott as an "outstanding head" and added: "It is our top priority to keep the school moving forward."
Oxford's Lord Mayor, John Tanner, a governor at Peers School, said: "This is wonderful news for Lorna, who has turned this school around. I am sure she will do just as well in Milton Keynes."
The plan to turn Peers School into an academy has not been universally popular, with the Oxfordshire Anti-Academy Alliance fighting to prevent the closure of Peers School.
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