The Department of Health has confirmed that a £185m emergency bailout fund has been found for the NHS Litigation Authority (NHSLA). Clinical negligence claims against the NHS reached an estimated value of £1bn last year, after rising from from £5,697m to £8,655m over the preceding five years.

The department denies claims that the rise marks an increase in medical negligence, but insists it is right to find the extra money to compensate patients when they do not receive the treatment they should.

Health minister Lord Howe said: ‘Following a review of claims, we have made additional funds available to the NHS Litigation Authority in order to make sure that those claimants who are entitled to compensation receive it in a timely way.’

In the future, he said, the government’s proposals for litigation reform would help. ‘We want to strike the right balance between access to compensation claims and ensuring that costs are proportionate, sustainable and affordable.’

In the coming weeks the department will publish a review on the future of the litigation authority and campaigners say they want more forward planning to reduce the need for a bailout.

Peter Walsh, chief executive of the charity Action against Medical Accidents, said most of the increased costs came from a judgment that injured children are entitled to more compensation.

‘The government and the NHSLA have known about this for a long time and it shouldn’t have come as a surprise.’