Claims of deal over UK hostages

The kidnappers have released video allegedly showing some of the captives

The kidnappers of five Britons held in Iraq for nearly two years claim to have reached a deal over their release, according to an unconfirmed report.

The Guardian claims a statement from the hostage-takers said Britain and the US had agreed to trade one hostage for 10 detained Sadrist militants.

The statement is from a Shia group called Leagues of the Righteous.

The Foreign Office refused to comment on the Guardian's story but said it was doing all it could to release the men.

The Leagues of the Righteous spokesman said one of the hostages would be freed soon, along with up to eight men, all Sadrist loyalists, currently being held by the US army in Iraq, according to the Guardian.

Safety concerns

It is understood a former spokesman for the Shia cleric Muqtada al-Sadr and a Lebanese Hezbollah leader captured in Iraq in 2007 are among the group of detained militants.

Frank Gardner, BBC security correspondent It could still be days, or even weeks, before there are any further signs of progress towards the release of five British hostages held in Iraq since May 2007. But officials working behind the scenes say they are more optimistic now than at any time since the men were seized in broad daylight in Baghdad's Finance Ministry by 40 gunmen disguised as policemen. This month a "proof-of-life" video was sent by the kidnappers, an obscure Shia militant group with links to Iran, showing one of the hostages Peter Moore. It is thought that his captors are now keen to resolve the situation and have agreed in principle to release the hostages one by one in exchange for a number of prominent Shia militants being held by the US military. British officials stress that it is not Britain leading the negotiations but Iraqis, using mediators in intermittent contact with the kidnappers.

The Britons - a computer expert and his four bodyguards - were working in Baghdad's Iraqi Finance Ministry in May 2007 when they were surrounded by 40 gunmen disguised as policemen and driven off towards a Shia area.

At first there was a news blackout, demanded by the kidnappers.

This was followed by the release of various disturbing videos showing the men making statements, possibly under duress.

Britain has insisted it would never change its policy in Iraq and negotiations have so far only resulted in stalemate.

Referring to the Guardian's report, the Foreign Office spokeswoman said: "We've seen similar reports.

"We are not going to comment on one media report on alleged remarks by people claiming to be hostage-takers.

"We continue to do everything we can to try and secure the safe release of the hostages and remain extremely concerned for their safety.

"We call on those holding the hostages to release them immediately and unconditionally so that they can be reunited with their families and friends."

Except for Peter Moore, the computer technician from Lincoln, the kidnapped men have not been fully identified for security reasons.

But their family and friends have made several public appeals for their return.

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