Compensation Payment Tariff in Secure Hospitals

Recently had a colleague conduct a police interview for a previous client in a high secure hospital who lacks capacity in all domains. This client admitted to a low level assault on staff.

I was advised that the hospital has a compensation scheme where a three digit sum would be taken from my client’s hospital account and transferred to the staff member.

Whilst I’m not looking to debate the premise of this; I wonder whether anyone knows where the power to do this lies? I’m not familiar with any Regulations that allow this. If it’s an informal agreement then that has implications given this client could not give valid consent.

Thanks all.

By way of update, this appears to have been one of the conditions of a conditional caution. The concern remains that this may be a blanket policy & that the client could not have given valid consent which likely impacts the validity of the conditions.