PARENTS affected by the Alder Hey baby organs scandal have been offered compensation of £5,000 each.

Health chiefs have proposed an out-of-court settlement of £5 million to be shared between more than 1,000 families.

The scandal at the Liverpool hospital centred on Dutch-born Professor Dick van Velzen, who removed organs from every child he performed post-mortems on between 1988 and 1995.

More than 2,000 were found in storage and many parents had to hold second and third funerals for their children.