UK wins appeal on terrorism suspects' benefits

LONDON, Mar 6 (Reuters) The Court of Appeal today upheld a High Court ruling allowing the government to control benefit payments to the families of suspected terrorists.

The ruling backed the Treasury's decision last July to suspend benefit payments to several families of suspected terrorists, with a view to appointing a third party to regulate future handouts.

The government said it took the action because it feared benefits might be used to fund terrorist activity.

Three wives had appealed against ''intrusive and inconvenient'' restrictions imposed by the Treasury on how they draw and use their benefits.

Treasury secretary Ed Balls welcomed today's ruling.

''We have repeatedly said this is the correct approach and we will continue to take all reasonable and proportionate measures necessary to prevent funds being diverted to terrorism,'' Balls said in statement.

REUTERS MS RAI1842