New children's author nets £1m

The rise of children's books was underscored today as a previously unknown author signed a £1 million deal for her first book.

Lady Georgia Byng finalised the deal for the 350-page Molly Moon's Incredible Book Of Hypnotism after a fierce bidding war. HarperCollins finally won the rights for well over £500,000. Other negotiated deals will net her £1 million.

David Heyman, the British producerwho paid £500,000 for the first Harry Potter film, beat off Hollywood studios including Dreamworks and Miramax to win the movie rights.

Lady Georgia, 36, daughter of the Earl of Strafford and stepdaughter of former BBC chairman Sir Christopher Bland, joins Whitbread Award winner Philip Pullman and Harry Potter author JK Rowling at the top of the list of most bankable children's writers.