The French subsidiary of Ikea has been fined €1m (£861,000) and a former executive handed a suspended jail term over accusations that customers and employees were illegally spied on.

Following a trial, Ikea France was deemed guilty of improper use of personal data in a case that dates back to 2012 when allegations were first raised by trade unions.

The company sacked four executives at that time, but denied spying on anyone, when a criminal investigation was first launched into claims the retailer had paid to gain access to police files which contained information about targeted individuals.

One specific allegation related to Ikea France using unauthorised data to try to catch an employee who had claimed unemployment benefits but drove a Porsche.

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