The Saville Tribunal is to move to Britain to facilitate former British soldiers unwilling to travel to Derry to answer questions about their role on Bloody Sunday.
Members of the Parachute Regiment in Derry on 1972 had successfully fought a court action giving them immunity from being questioned at the Guildhall in Derry.
The 36 former soldiers, thought to include the paratroops who fired the fatal shots on Bloody Sunday, had argued that they could be attacked by dissident republicans if they returned to Northern Ireland.
Lord Saville had hoped to hear the ex-Paras evidence by video link but after objections to the idea he has now decided to temporarily move the Inquiry to an as yet undecided location in Britain.
He also said efforts had begun to obtain suitable premises and there were plans for "reasonable facilities" for families of the dead and the injured to attend.
"We shall also provide a live videolink from the inquiry to this city [Derry] for people to watch the proceedings from here. We wish to maintain the present facilities in this city while this part of the inquiry takes place elsewhere, so that we can return without delay," Lord Saville said.
He added: "On our present estimates we hope to be ready to make this move some time in the summer. As soon as possible we shall announce the specific arrangements that we have made and a revised timetable for the rest of the hearings."
Afterwards Mr Peter Madden, whose law firm represents the bulk of bereaved and injured, said: "The families are happy that the soldiers will be examined in person by their legal representatives, even though it is of great inconvenience and disruption to them, having to leave Derry where they wanted the soldiers to give their evidence."
Additional reporting PA