Costa Cruises, the Italian company that owns the capsized cruise ship Costa Concordia has offered passengers 11,000 euros ($14,000; £9,000) each in compensation.

The deal comes after negotiations between Costa Cruises, and several Italian consumer groups.

Costa Cruises also promised to refund medical and transport expenses, as well as the cost of the cruise.

Costa Cruises, the Italian company that owns the capsized cruise ship Costa Concordia has offered passengers 11,000 euros ($14,000) each in compensation

One consumer group, Codacons, has urged passengers not to accept the offer, Reuters news agency reports.

Will be back with further details.