Despite the paedophile's history of sex offences, his supervision has been cut by prison officials from two fulltime escorts to one.

The Corrections Department is citing the "financial implications" of McIntosh's care up to $1000 a day for the decision, which was ordered two days before Christmas.

McIntosh, 31, has been assessed as an "indiscriminate, high-risk sex offender" who is unlikely to stop committing sex crimes, despite ongoing intensive psychological treatment.

He has already shown he can offend while being guarded fulltime in September 2003 he attacked a woman in his bedroom, while his security guard minder waited outside the room.

McIntosh made legal history last month when Corrections successfully sought a maximum 10-year supervision period for him.

He continues to live in a house in Christchurch Prison's grounds.

The round-the-clock supervision has been conducted by two staff from a community centre. Both supervisors accompany him on any excursions he makes.

The centre is contracted by Corrections to monitor him.

But Corrections documents reveal that on December 10 just two days after prison officials convinced two High Court judges that McIntosh was dangerous and needed 10 years supervision prison officials sought to reduce his monitoring.

A letter from Community Probation Service southern regional manager Warwick Duell to the community centre said: "It is the department's view that the level of supervision of Lloyd can be reduced to one-on-one for the full 24-hour period.

"We believe that Lloyd should be settling into his programme and that two-to-one is no longer required . . . It is essential we manage the costs of this contract within the expectations agreed by both parties."

The request, which took effect from January 1, was confirmed in a second letter on December 23, which said the 10-year supervision order was an "important milestone".

"Having said that, there is a need to manage this contract within financial expectations," the letter said.

National MP Tony Ryall, who obtained the letters, said he understood that staff supervising McIntosh and within Corrections were extremely concerned he would reoffend.

"He is the worst of the worst and the staff are very worried that the community is being put at risk for the sake of a few thousand dollars.",00.html