The Queen has made a "substantial donation" to the fund

Nine days after the memorial fund was set up, about �3.5m has been collected from firms and people - the government donated a further �1m on Monday.

Donations have been collected at Tube stations, shops, banks, post offices and by phone, post and the internet.

Money raised will go to help those injured and the families of those killed in the attacks on 7 July.

Home Secretary Charles Clarke said on Monday the �1m donation would be in addition to money available to victims through the government's compensation scheme.

The London Bombings Relief Fund was set up by London's mayor with the British Red Cross, which donated �50,000, 48 hours after the bombings .

We hope this generosity will continue and that donations will keep coming in Murziline Parchment, fund trustee

The Queen has also made what is described as a substantial donation to the fund, which aims to help people cope with sickness and disability as well as other projects supported by the trustees.

In a statement, Mr Clarke said: "The donation is a clear statement to the public of the government's intent to ensure that victims of the London bombings and the families of those who died are supported.

He said it was also to "encourage and stimulate further contributions".

Mr Clarke reassured the victims that any compensation claims would be dealt with "quickly, fairly and compassionately".

In a separate statement, Tessa Jowell, the cabinet minister appointed to look after the welfare of bombing victims, said the government would support them for as long as they needed.

Fund trustee Murziline Parchment said: "The government's donation brings the resources of the fund close to �5m and will make a big difference in helping us meet the support needs of victims and their families in the aftermath of this tragedy.

"We hope this generosity will continue and that donations will keep coming in."

• Donations to the London Bombings Relief Charitable Fund can be made at your nearest bank or post office, by phone on 08705 125 125, on-line at: Red Cross website or by pressing the red button whilst watching SkyNews, SkyActive or the Community Channel.

• Cheques payable to the London Bombings Relief Charitable Fund can be sent to: London Bombings Relief Charitable Fund, c/o The Mayor of London, Freepost LON18968, Sheffield S98 1ZA.