Some senior staff in hospitals and other health agencies may be allowed keep their controversial top-up payments, it has emerged.

Two months ago, the HSE rejected around 100 applications from agencies for the retention of top-up allowances.

The HSE has ordered that such payments should cease at the beginning of next month; however, some agencies have indicated that staff who have had top-ups removed could sue them.

The Irish Times has reported that the HSE has written to some agencies, setting out a scenario under whichsome executives can retain their extra payments.

The HSE said agencies would need to provide evidence to support claims of a contractual entitlement if staff were seeking to retain existing top-ups.