The satellite technology has been criticised for being too expensive
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Plans to use satellite tracking to monitor sex offenders have been shelved by the government.
The Ministry of Justice (MoJ) said the project had been suspended pending further "developments in technology".
A two-year pilot scheme found that the equipment could be blocked or distorted by high rise buildings or even trees.
The technology involved offenders wearing an ankle bracelet which relayed their movements via satellite to a control room.
Entering an 'exclusion zone' - such as a paedophile going near a children's playground or school - would trigger an alarm.
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It was decided not to roll out trials; but the technology will be kept under review as it develops further
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Offenders placed on pilot schemes included burglars, robbers, sex offenders and violent criminals.
An MoJ assessment published last July found one-in-four sex offenders freed early on a satellite tag were reconvicted of a further offence within a matter of months.
The satellite tags - which look similar to conventional electronic tags - cost £42 a day to operate.
An MoJ spokeswoman said: "It was decided not to roll out trials; but the technology will be kept under review as it develops further."
Harry Fletcher, assistant general secretary of probation union Napo, said the move was not a surprise.
"It was hugely expensive and the signal failed when confronted with tall buildings. low cloud or other obstacles," he said.
Ministers are now believed to be planning to use lie detectors as a new technique to deal with paedophiles.
Legislation was passed last year to expand the programmes of polygraph or lie detector tests.
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The polygraph is likely to be of limited value because sex offenders can manipulate the outcomes
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It would allow them to be made compulsory for the first time.
A pilot scheme lie detector tested 350 offenders on a voluntary basis and questioned them about whether they had reoffended or breached their parole or community order conditions - 214 were found to have lied.
New information about paedophiles' behaviour - which could be vital in protecting children and others from sex attacks - was obtained in nearly eight out of ten cases in the pilot.
Information provided by the lie detectors led probation officers to increase their risk assessment of offenders in 81 per cent of cases.
Napo's spokesman said: "The polygraph is likely to be of limited value because sex offenders can manipulate the outcomes.
"It remains the case, however, that sufficient controls should be in place for each individual case to maximise public perception, " he said.
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