MORE than 60 pensioners in the North-East and North Yorkshire have won compensation because they were wrongly denied free long-term care on the NHS.

Many patients forced to use their own cash for post-hospital care have had to sell their homes to pay the bills.

Health chiefs are still investigating more than 400 other cases where elderly patients may also be reimbursed because the rules were wrongly applied.

The payouts follow inquiries across the country into the way continuing care is funded amid criticisms that the system is complex and confusing.

Patients with conditions such as Alzheimer's can receive full NHS funding of up to £1,000 a week, covering accommodation costs and other needs.

But it is only available to those with what are described as complex, intense or unpredictable nursing needs, allowing strategic health authorities (SHA) to intepret the rules differently.

Last year, the Health Service Ombudsman reviewed the system and recommended that each SHA reviews its criteria and gives compensation where necessary.

Now, the Department of Health has announced that ten patients have been reimbursed by County Durham and Tees Valley Strategic Health Authority.

A further 27 have been compensated by Northumberland and Tyne and Wear SHA and 29 in North and East Yorkshire and North Lincolnshire

Together, the three SHAs have completed 440 inquiries, with a further 443 ongoing.

Nationwide, 5,011 investigations are unfinished, with 770 patients compensated so far.

Stephen Ladyman, a minister for health, said all inquiries should have been completed by the end of March, but the number of cases had posed significant challenges.

Many of the outstanding cases would be completed by next month, with newer claims settled within two months of being made.

Mr Ladyman said: "The NHS has remained committed to completing investigations as accurately and thoroughly as possible."

Compensation could eventually reach £180m.

Following the report of the ombudsman about a year ago, SHAs have been required to investigate cases stretching back to 1996.

Under the rules, people denied NHS funding are deemed to need social rather than health care, which means they may receive some money from social services.

Some patients can also obtain some help with the cost of care from a registered nurse, but that can be just £125 a week, instead of thousands of pounds per month from the NHS.

Help the Aged has argued that the best way to simplify the system is to provide free personal care at the point of need, as happens in Scotland.