A husband whose wife died after plunging 500ft off cliffs after a romantic picnic is being sued by her family for the £225,000 life insurance.

Paul Ramsden, 40, said his two step-children would receive the cash from the policy on his wife Paula but it is claimed Daniel, 15, and nine-year-old Michelle have not seen a penny.

Mrs Ramsden's family is taking Mr Ramsden to court to get the cash released to the children, who live in Spain with grandparents Ken and Pauline Cottle.

Detectives spent months investigating the death of Mrs Ramsden on January 9, 2000.

Mr Ramsden, of Church Road, Mannings Heath, near Horsham, was arrested on suspicion of murder but released without charge.

He said he and his wife were wrapped in each other's arms, enjoying a cuddle, moments before she turned and fell at Beachy Head, near Eastbourne.

East Sussex coroner Alan Craze said at her inquest in April 2002 that everyone was united in regarding Mr Ramsden's actions in the moments leading to the death of his wife as suspicious.

The three-day hearing was told Mr Ramsden, an operations manager for Shell, stood to gain more than £225,000 from the "drop dead" life insurance policy taken out on his wife.

Mr Craze recorded an open verdict, concluding it could not be proved Mr Ramsden had killed his wife.

He added: "If I asked 100 people who had heard the evidence, 'Do you believe he killed his wife?' a very considerable number would say, 'Yes'.

"If he did not do it, the death was a huge coincidence."

Mr Ramsden and his wife, who were childhood sweethearts, wed in May 1993. They lived in a three-bedroom semi-detached house at Ash Close, Crawley Down.

Six months before Mrs Ramsden's death her husband took out the new life insurance policy on his wife.

Mr Ramsden increased his wife's insurance to £225,000 from £104,000.

The inquest heard he had been cheating on her with work colleague Liz Harrison, 32.

Mr Ramsden said the money was intended to provide childcare and clothes for the couple's children and it would not have been for his personal use.

Mrs Ramsden's family have dropped plans for a private prosecution over her death. But they vowed to fight a bid by Mr Ramsden to gain access to his stepchildren.

Paula's sister, Mandy Cottle, from Hayling Island, Hampshire, said: "We will be contesting the application."

Speaking from the family home in Mannings Heath, Miss Harrison said: "I've no comment."

Police say the inquiry into Paula's death remains open.