22 November 2012 Last updated at 08:23 ET
Conservative peer Lord McAlpine has reached a £125,000 settlement with ITV and Phillip Schofield.
It is in relation to a This Morning programme broadcast in November during which the presenter handed the prime minister a list of names of alleged abusers he had found on the internet.
This followed a Newsnight investigation which led to the peer being wrongly accused of child abuse.
Broadcast regulator Ofcom has launched an investigation into the incident.
ITV to pay Lord McAlpine £125,000 http://news.bbcimg.co.uk/media/images/51606000/jpg/_51606573_fa1d16c0-9c6c-4f82-b0b8-ab66ddd94f78.jpg
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