The Liberal Democrats have quietly commissioned a review into the treatment of figures within their ranks who hold religious views, weeks after the Guardian revealed a religious discrimination claim against the party by the former candidate David Campanale.

Campanale, a former BBC journalist, was selected in 2021 as the party's candidate for Sutton and Cheam but was removed in August 2023. He has argued in a civil case against the party that discrimination against his Christianity cost him his political career.

Richard Newby, the former Lib Dem leader in the House of Lords, has been appointed to chair the party's inclusion and faith review, which will examine how the party treats candidates and members of different faith and those without.

The inquiry, which has not been publicly announced, was set up in direct response to Campanale's case, the Guardian understands, with figures at the top of the party understood to be keen to show they take the issue seriously.

The Guardian revealed last month that Campanale was seeking almost £790,000 in damages after the party admitted direct and indirect discrimination on the grounds of religion or belief, and failures in dealing with complaints about his treatment.

The case prompted the former Lib Dem leader Tim Farron and former deputy leader Simon Hughes to call for an independent inquiry into Campanale's treatment by the party, as well as an apology.

The party cannot comment on court proceedings and will instead use Lord Newby's review to seek to answer the general question of whether people of faith are being discriminated against, and to what extent any evidence shows this.

Hughes told the Guardian he would pursue a separate investigation once Campanale's case was resolved.

"The Newby review is explicitly not about any past or present legal case and cannot be about David's case, which is still before the courts and with one remaining possible internal party appeal," he said. "The review however is greatly to be welcomed and I believe it will allow the party to meet one of the two big objectives which David, [the] Lib Dem Christian Forum, I and others were seeking."

The Newby review was announced last week to party members via an email from the Lib Dem leader, Ed Davey, and president, Josh Babarinde, days before the start of the party's conference in Brighton.

It will examine whether candidate approval, selection and deselection processes are inclusive of different faiths, whether candidates receive adequate support, the operation of complaints and disciplinary processes, and training for local party officers.

A Lib Dem source said: "This review offers no remorse, no apologies to members misled so badly nor contrition towards the victims of breaches including Campanale and other Christians who once formed a bedrock of activists among our party's nonconformist tradition. All should have had an apology by now.

"As it stands, the review looks like a ploy to impress a court judge as the review of Campanale's case is meant to be published right before damages are considered."

Another source said: "The review doesn't recognise the pain [Campanale's case] brought on members, and it has to be asked why key individuals refused to act when they received complaints or requests to investigate complaints around Campanale's deselection."

Campanale submitted a schedule of loss that puts his claim at £788,740.75, including interest. It seeks compensation for injury to feelings, aggravated damages, past and future earnings, the loss of an MP's pension, counselling costs and the "loss of a chance" or "loss of political capital".

In his claim, Campanale said that at a meeting in January 2022 he was questioned about his Christianity by about 30 people and asked whether he was enjoying his "martyrdom just like Jesus did".

Questions have emerged within the party about the remit of the review. A number of Lib Dem figures and activists have also privately criticised its lack of formal announcement. One figure questioned whether Newby would have access to complaints and candidate selection material, and whether the review would extend beyond religious faith to other protected beliefs.

There is a particular concern among some members about whether the review will examine the party's treatment of people with gender-critical beliefs. In a motion passed at party conference on Monday, members rejected official guidance by the equalities watchdog on how organisations should implement the supreme court ruling on transgender people, calling it "discriminatory and unworkable".

The party's conference fringe programme over the weekend included discussions about Christian nationalism and political use of religion.

The Lib Dems previously said the party was "home to people of all faiths and none, including many Christians", but have declined to comment.