The Most Reverend John Aloysius Ward, who turned 70 on Sunday, was questioned in connection with allegations of serious sexual offences against a girl in the 1960s. He was released on police bail to return on 9 March.

Wyre Davies reports for BBC News 24

The girl was then aged six or seven, and the archbishop was working as a parish priest and school governor in Peckham, south London.

His arrest follows a letter to him from the woman and a report of her allegations in the News of the World newspaper last week.

The woman is now 45 and believed to be living in Ireland.

Archbishop Ward has insisted he is innocent, and said the Church had suffered "enough of these tragedies and travesties of injustice and abuse".

In a statement released by a spokesman, the archbishop said: "I vigorously deny these allegations against me. The truth will out, it will set us free. Those who know me will have no problems accepting that."

Attack on police

He also implied that the police leaked information to the media. "Accusations must be answered in an atmosphere of trust that upholds the principal that a person is innocent until proven guilty," he said.

"This is not possible when police connections with the media precede arrest and the interview which follows. This is not the practice of most police authorities, but it is common enough."

However, the archbishop also added: "I am co-operating fully with police who have treated me with appropriate courtesy."

The archbishop told the News of the World he had informed the leader of the Catholic church in England and Wales Cardinal Basil Hume and passed all correspondence relating to the claims on to the Vatican.

Cardinal Hume for his part has offered the archbishop his "full support."

'Baffled by accusations'

Earlier, a spokesman for the archbishop, Father Joseph Boardman, told BBC News Online: "He absolutely denies the accusations and is baffled and bemused by them."

He said: "The archbishop was interviewed by the police in London and is co-operating with their investigation, which is not complete.

"It is a technical arrest, which is the normal way of doing things."

Fr Boardman said he could not comment on whether the archbishop would continue his pastoral activities while the matter is investigated.

'Completely unprecedented'

Joe Kelly, editor of the Catholic weekly newspaper The Universe, said he was "shocked and stunned" by the news.

He said: "It's completely unprecedented for allegations of this sort to be made against an archbishop.

"The nearest thing we have had is Bishop Roddy Wright [the Scottish bishop who eloped with a woman in 1996]."

Mr Kelly said: "As its unprecedented it's difficult to say what will happen but he would probably continue with his duties as per normal."

He said Archbishop Ward, who has been in his position since 1983, had been suffering with health problems recently and may be in line for retirement.

Mr Kelly said: "Our own agony aunt, Father Michael Buckley, was the subject of similar allegations a year ago. In that case they proved to be completely bogus. But this things inevitably damage the external perception of the Catholic Church."