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 huge bills.

And health chiefs are still investigating a further 443 cases where elderly patients may also be reimbursed because the rules were wrongly applied.

The pay-outs 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 care needs.

But it is only available to those with "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 review its criteria and give 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 (SHA).

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

However, 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 £180 million.

Following the report of the ombudsman just over 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 get 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.