Now lags could sue over latest ID blunder

CONFIDENTIAL information on every prisoner in England and Wales - plus 40,000 career crooks - has been lost in a security breach.

Cops are investigating after a computer memory stick holding 84,000 lags' names, addresses and release dates vanished.

Last night there were fears the Home Office could be hit by a wave of compensation claims from convicts and crooks affected. It follows uproar last year when child benefit discs holding personal information on 25 million people went missing.

The latest blunder happened after the Home Office sent the details to PA Consulting, a private firm carrying out work for the department.

The information included names, addresses and ages of 33,000 prolific offenders on the Home Office's J-Track system, which targets people who have committed six or more offences in the last year.

There were also names and ages of another 10,000 repeat offenders, plus details of drug offender programmes.

The Home Office said the information was sent on secure, encrypted discs and arrived safely.

But an employee at PA Consulting later downloaded the details on to an unencrypted memory stick - which went missing on Monday.

The Home Office was told that evening and Home Secretary Jacqui Smith was informed on Tuesday. Despite extensive searches at PA Consulting's central London offices, the memory stick has not been found.

Scotland Yard were informed of the security breach yesterday morning, along with the Information Commissioner.

Tories voiced concern that taxpayers may have to fork out compensation to criminals and lags.

Shadow Home Office minister David Ruffley said: "Sensitive data on prisoners has been mislaid and Jacqui Smith hasn't a clue where it is.

"The British taxpayer will be absolutely outraged if they are made to pick up the bill for compensation to serious criminals."

Deputy Information Commissioner David Smith said it was "deeply worrying" the data was lost despite pledges to tighten up security.

He added: "It is vital sensitive information, such as prisoner records, is held securely at all times.

"Searching questions must be answered about what safeguards were in place to protect this information."

A Home Office spokesman said: "A full investigation is being conducted. The police and Information Commissioner have been informed."