Iraq war veterans are considering suing Phil Shiner, the human rights lawyer accused of hounding British troops, amid allegations Iraqi civilians were paid bribes to bring abuse claims.

One serving soldier said he hoped to launch a legal claim against Mr Shiner for the emotional damage he has suffered as a result of claims made by one of his Iraqi clients.

Lawyers acting for a number of former servicemen said they would await the outcome of disciplinary proceedings against Mr Shiner before deciding whether to pursue proceedings.

The Telegraph disclosed on Wednesday how Mr Shiner and his law firm Public Interest Lawyers (PIL) face a possible criminal investigation into allegations that Iraqis were paid “disguised bribes” to bring abuse allegations against UK troops.

The serving officer, who does not wish to be identified, said: “We veterans would like to sue Shiner. He has a lot to answer for. Lives have been destroyed while he has gained personally from these allegations.”

The allegations against the soldier led to the Iraq Historic Allegations Team (Ihat), the Government body set up to investigate possible war crimes, turning up on the doorstep of his former girlfriend’s house and asking her if the soldier had ever been abusive in their relationship.