The British government is set to compensate 7,000 former British prisoners of war who suffered years of torture and cruelty in Japanese camps during World War II, a British newspaper reported Sunday.

The Observer said the payout per person would be 10,000 British pounds ($15,100). The Defense Ministry, which is mulling POW compensation claims, is expected to make an announcement in the next few weeks.

British veterans were elated Saturday night when they learned that Prime Minister Tony Blair and Defense Minister Geoff Hoon are "very sympathetic" to their claims, the report said.

News of the possible payouts comes after Canada and Isle of Man, an autonomous British territory in the Irish Sea, recently agreed to payouts of 10,000 pounds to POWs.