Liz Hurley and her husband Arun Nayar have settled a case brought against them by a former maid, who claimed she was paid as little as £1.20 an hour.

Violet D'Souza, from India, alleges that she put in between 60 and 70 hours a week over four years at the couple’s Chelsea home for a paltry just 8,000 rupees a week (roughly £100.)

This could work out at around £1.20 per hour - well below the £5.52 legal minimum.

D'Souza was set to make the slave-wage allegations against Liz – who is worth an estimated £13million - at an employment tribunal tomorrow.

However,.the case for breach of contract, failure to supply a written statement of terms and conditions, race discrimination and unfair dismissal has been dropped at the last minute after being offered what is believed to be a five-figure settlement.

A spokesman said: "We can confirm this claim has been withdrawn and the pre-hearing review has been cancelled but cannot discuss the reasons."