Sharon Shoesmith could get £1m compensation

The former child protection boss Sharon Shoesmith is in line for compensation estimated at up to £1m after judges rejected applications to challenge a ruling that she was unfairly sacked following the Baby P tragedy.

The Supreme Court decision sparked a call for an urgent change in the law from the former children's secretary Ed Balls, who removed Ms Shoesmith as Haringey Council's director of children's services after a damning report on the death of Peter Connelly. The Department for Education said it was "very disappointed" at the decision and insisted that the Government still believes Ms Shoesmith's removal was "right in principle".

Ms Shoesmith's career was left in ruins after she was removed from her £133,000-a-year post by Mr Balls and then fired by the north London council without compensation in December 2008. Her lawyers argued that she was the victim of a media witch-hunt.