EAST Lancashire families who have received millions of pounds in compensation for medical negligence today gave a mixed reaction to plans to shake-up the system in the UK.

Plans for change were backed by Ann and John Walsh, of Henry Whalley Street, Mill Hill, Blackburn, who received £2million compensation after their son Craig was brain damaged at birth.

But David and Margaret Warburton, of Holden Wood Drive, Helmshore, were more sceptical after they secured £3.4million after daughter Hannah was starved of oxygen at birth.

The government is contemplating replacing large one-off awards with annual payments which would stop families of claimants receiving large windfalls if they die.

Ann and John Walsh said it didn't matter how money was given as long as families were paid.

The couple agreed the payout last week with Blackburn, Hyndburn and Ribble Valley Healthcare NHS Trust for their Craig, 11, who developed cerebral palsy and needs 24-hour care.

Said John: "The main thing is that these things shouldn't happen. You put your trust in the health service."

Dave Warburton, whose daughter Hannah also developed cerebral palsy, received a payout after Burnley Health care NHS Trust admitted liability.

Dave said: "In some circumstances annual payments would help. If the money Hannah was awarded was not invested properly it is doubtful that that would last her lifetime because of the cost of care.

"I think the government are trying to save themselves money by making the system more uniform which could be hard to take for some families because every case is different."

Negligence claims against the NHS in England could reach £4.4 billion this year and Professor Sir Liam Donaldson, the chief medical officer, is compiling a report to improve the system.