Sacked jails chief gets pounds 220,000

Sacked prisons chief Derek Lewis yesterday accepted a pounds 220,000 pay-off from the Home Office after a lengthy legal battle.

The former director-general of the Prison Service was fired from his pounds 125,000-a-year job by the Home Secretary, Michael Howard, in the wake of the damning Learmont report into the escape of dangerous inmates from Parkhurst jail. He is also understood to have been paid costs of around pounds 50,000.

The settlement falls short, however, of Mr Lewis's original claim for pounds 300,000.

A Home Office statement confirmed that legal wrangling over compensation dating back to last October had ended in agreement. "The Home Office has agreed to pay Derek Lewis pounds 220,000 plus costs, without admitting liability, in settlement of his claim for compensation following his dismissal without notice."

"The payment compensates Mr Lewis only for the loss of earnings and other benefits which he would have obtained had he been allowed to serve a full notice period and for other incidental expenses."

Mr Lewis said in a statement that he was "very pleased" with the settlement.

It is understood that he has agreed to drop his industrial tribunal claim for unfair dismissal as part of the deal. The payment is expected to be formally endorsed at a High Court hearing on Tuesday.