Kenneth Clarke: No plans to cut bereaved payout

Kenneth Clarke's Ministry of Justice has insisted there were "no plans" to cut official compensation to those bereaved by murder or manslaughter.

The announcement came after the release of a letter from victims' commissioner Louise Casey, warning that any reduction in the £5,500 payment could have "untold consequences" for grieving relatives.

The MoJ is seeking savings totalling 23% after getting one of the toughest settlements in last October's Comprehensive Spending Review, and officials confirmed that all aspects of services for victims of crime were under review.

In a letter obtained by the Daily Mail, Ms Casey warned Mr Clarke that cutting payments to families affected by homicide would spark an angry public reaction.

"Cuts to what is received by those bereaved by homicide will not only send entirely the wrong message at this time but also have untold practical consequences for families who often find themselves in financial dire straits through no fault of their own," she wrote.

"The current planned reductions in funding from this April are likely to be seen as evidence of a government that does not adequately support the welfare of victims of the most serious crime.

"It will also be seen by victims' groups, and perhaps the public at large, as further proof that the department cares more for the rehabilitation of offenders."

Under the current £15 million compensation scheme, £11,000 is available if only one relative of a deceased crime victim - usually their partner - applies. If parents and children also claim, the payment is reduced to £5,500 for each applicant.

An MoJ spokesman said last night: "Following the Ministry of Justice's Spending Review settlement, ministers are reviewing all victims' services and carefully considering where best to allocate funds. This requires examination of every aspect of the system.

"However, there are no plans to reduce compensation to those bereaved through murder and manslaughter.

"The Government believes support should be offered to the most serious, most vulnerable and most persistently targeted victims of crime - ensuring that those who actually need support receive it. We will continue to work closely with the Victims Commissioner as we review the Criminal Injuries Compensation Scheme."