The first transsexual officer in the Armed Forces has been fired and is taking legal action against her employers for sexual discrimination.

Jan Hamilton, a former male captain in the Parachute Regiment who now lives as a woman, was due to become head of media operations for the British Army in Gibraltar this month but was informed by letter that the job offer had been withdrawn.

Capt Hamilton, 42, said the decision had left her 'devastated and angry'. She now intends to take her employer to an industrial tribunal.