Deal agreed on Diana property

Paul Burrell's case attracted a media frenzy

The ownership of hundreds of items belonging to Diana, Princess of Wales - found at the home of her former butler - has been agreed, police have said.

Agreement had been reached over a "substantial amount" of the property, which sparked theft allegations against Paul Burrell, Scotland Yard said.

Mr Burrell was accused of stealing hundreds of items from her estate, but his Old Bailey trial collapsed in 2002 after an intervention by the Queen.

Among the items were letters written by the princess and things belonging to princes William and Harry.

Negotiations

A Scotland Yard spokeswoman said: "Negotiations continue to establish ownership of a small number of items still in our possession.

"If there is a dispute the matter will be taken to the High Court to be resolved by civil action."

A spokesman for St James' Palace said: "This is a matter for the executors of the late Princess's estate."

Mr Burrell's representatives said he would not make any comment.

Lawyers for three parties are believed to have been involved in negotiations over what belonged to who - Mr Burrell, the Spencer family acting for Diana's estate and the Royal Collection.

Mr Burrell is believed to have asked to keep only several dozen items, including clothes which he always maintained were gifts to his wife Maria from Diana, who had the same dress size.

Other items he said were gifts from Diana included a writing desk given for his son Alexander to do his homework on.

The Royal Collection is believed to have wanted a small number of items and the Spencer family wanted some of the items, including family photographs, to go to the family home at Althorp.