A victims’ campaigner has claimed to MPs that a secret deal between the UK and Libya blocked a compensation package for IRA attacks during the Troubles, according to the BBC news.
Kenny Donaldson said he spoke to a senior Libyan bank official who is “vociferous” that the matter is closed.
He said he was told “a diplomatic outcome” was reached years ago.
“There is a reason why compensation is not being pursued,” he said.
Campaigner Jonathan Ganesh said: “Our government has disgraced victims. They fought for trade deals more than they fought for victims.”
DUP MP Gregory Campbell, a member of the committee, said the government had “behaved exceptionally badly”.
He added: “The current position is untenable and unjustifiable and they need to hear that message.”
Last month the government said it was unable in law to use £12bn of Libyan assets frozen in the UK to make payments.
Campaigners said, however, freeing those assets should be conditional on a compensation package for bereaved families and victims.
The government is also using £5m a year in tax revenue from the assets for other things.
It has told victims to pursue Libya themselves and to apply for payments from the new Troubles pension scheme.