Britain's military police are investigating claims that British troops tortured and killed a 62-year-old Iraqi woman in 2006.

The woman was killed in Basra in November 2006 when British soldiers raided her family's home.

Iraqi police say the woman's body was later dumped by a roadside in a British-issue body bag. Police say she had a bullet hole in her abdomen and her face had injuries consistent with torture.

The British Ministry of Defence has already denied the allegations and says the woman died in a crossfire when her house was raided by members of the Princess of Wales' Royal Regiment.