Immigrants detained illegally receive £2m in compensation

Figures revealed yesterday showed payouts of more than 2m over the past three years.

Law firms said the money went to 121 individuals – an average payout of more than 16,000 each. But the survey only covered a handful of legal companies, meaning the real total could be much higher.

Home Office officials said they did not know how much had been paid out, because the figures were not collected.

The payouts are to immigrants locked up in detention centres because they are suspected of not having the right to be in the UK.

If they later prove that they were held wrongfully, they can claim compensation from the Government. The investigation found a Bolivian family was paid 100,000 last month and a Congolese family received 150,000.

Legal costs could add millions to the total bill picked up by the taxpayer.

Immigration Minister Phil Woolas confirmed the figures and attacked lawyers for encouraging claimants to take legal action.

He said: "I suspect that's of the right order, but that is a fraction of the total number of cases we deal with. I think there is an inevitable problem of imperfection at the margin of the system and I think some lawyers have a self interest to highlight that because that's how they make their money."

Lisa Nandy, policy adviser at The Children's Society, said: "Not only is immigration detention seriously harmful to children's physical and mental health, this report also demonstrates that it is a waste of taxpayers' money."