The government will extend its compensation scheme for mesothelioma sufferers affected by the Court of Appeal's Fairchild judgement, in which employers and insurers successfully avoided paying compensation.

The Fairchild judgement meant workers exposed to asbestos dust by more than one employer could not claim damages unless they could prove which employer was responsible for the exposure causing the mesothelioma cancer.

The judgement had been considered a boon to the insurers of such employers, who had been heavily hit by asbestos-related claims.

State secretary for transport, local government and the regions Stephen Byers said, as an interim measure, he would extend his department's compensation scheme for respiratory industrial disease sufferers.

"This is a terrible disease and it would be wrong for employees, former employees and their families to be left without help as a result of this court judgement," Byers said.

"I'm discussing with colleagues in government what further action might be taken in the longer term in response to the Fairchild judgement."

The Pneunmoconiosis (Workers' Compensation) Scheme covers respiratory industrial diseases caused by dust and the sufferers' dependents.

It was designed for workers who could not take court action to recover damages from an employer.

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