Construction union UCATT have described proposals, which would deny compensation to pleural plaques victims as "disgraceful".

The decision not to compensate pleural plaques victims is due to the Government's unwillingness to pay compensation to public sector workers exposed to asbestos whilst employed in former nationalised heavy industries, such as shipbuilding.

The Government's liability is claimed to be £35 million per annum, but this is a diminishing liability due to the historic nature of the exposure.

Alan Ritchie, General Secretary of UCATT, said: "The State employed these workers and exposed them to asbestos now the State must pay their compensation. A failure to do so is morally indefensible."

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The Government is only planning to compensate plaques victims who had already lodged a legal case before the Law Lords banned compensation for pleural plaques in October 2007.

There are £30 million worth of legally stayed pleural plaques cases. These include many cases where insurance companies would have been liable to pay compensation. Instead the Government is proposing to use public funds to pay compensation.

Mr Ritchie added: "The Government is intending to pay compensation, from an already severely overstretched public purse, to pleural plaques victims when it is the insurers who are liable. Why on earth are the insurers not being made to pay?"

A formal announcement on the Government's pleural plaques plans is expected to be made by Jack Straw the Justice Secretary shortly.

Mr Ritchie said: "Jack Straw is ultimately answerable to his constituents. He has to reconcile denying compensation to pleural plaques victims in Blackburn, while plaques sufferers living in Gordon Brown and Alistair Darling’s constituencies will be fully entitled to compensation. This is a shameful act."

(CD/GK)