Susan Deacon is to compensate some victims

Last year a ruling by the High Court in England paved the way for compensation payments to 114 victims south of the border.

The judge in the case said some victims had a right to compensation because they had been given a defective product, which had been affected by hepatitis C.

The Scottish Executive had refused to offer compensation on the grounds that there was no negligence in the case.

However, in the light of the English judgement, Scottish Health Minister Susan Deacon said compensation would be paid to some of those affected north of the border.

She has instructed NHS lawyers to begin negotiations to settle legal actions out of court.

But the settlements will only apply to about 20 cases - those who contracted the disease after March 1988 and raised actions under the Consumer Protection Act.

Support services

Campaigners said the measure was just a "small step" in the right direction.

Mrs Smith said: "Having considered the issues raised in two petitions to parliament, our committee is persuaded by the moral case for providing financial and practical assistance to those individuals infected with hepatitis C through blood transfusion services.

"It is important to stress, however, that we are not advocating the principle that all injury caused through NHS treatment should be compensated.

Margaret Smith: "Moral case for support"

"Nor are we asking the executive to establish any new, wide ranging precedent on the management of risk in clinical decision making.

"We realise that all medical treatment carries risk and we agree with the health minister that a risk-adverse NHS is in no-one's interests."

The current compensation system was in need of reappraisal in the committee's opinion, Mrs Smith added.

"There must be a better way of resolving disputes between the NHS and patients, and it is perhaps time to begin questioning old certainties about the way in which such disputes are handled."

A spokesman for the Scottish Executive said Health Minister Susan Deacon would consider the committee report "carefully and will respond in due course".

'Sensitive issues'

He said: "NHS Scotland lawyers are currently in talks aimed at settling those cases which are equivalent to those covered by the recent English High Court ruling.

"In addition, the Scottish Executive, together with other UK health departments and a range of other bodies, is examining a wide range of issues regarding risk management, compensation, and the resolution of disputes in the NHS.

"These are complex and sensitive issues which will require careful consideration."

Urgent government action is now essential and I call on the health minister to act upon the report's recommendations without further delay

Nicola Sturgeon, SNP

The Scottish National Party's health spokeswoman Nicola Sturgeon said the report was "excellent news for haemophiliacs and others who have been infected with hepatitis C".

She said: "In recommending compensation for all, the report brings justice that bit closer to all those individuals who were infected in such a way.

"At present, people with hepatitis C suffer a double injustice.

"Firstly, there is the devastation of the illness itself but, on top of that, they suffer discrimination compared to people whose defective blood treatment infected them with HIV.

"The latter are, rightly, compensated through the Macfarlane Trust whilst those with hepatitis C have received no assistance whatsoever."

Ms Sturgeon said the report would help to "sweep away the distinctions between different categories of victim and award compensation for all".

'Cross-party support'

She added: ""Urgent government action is now essential and I call on the health minister to act upon the report's recommendations without further delay."

Scottish Conservative health spokeswoman Mary Scanlon said the inquiry had been a "thorough examination" of the compensation issue.

She said: "Without hesitation, there has been true cross-party support on this issue.

"A risk adverse NHS is actually in no-one's interests and all medical treatment undoubtedly carries risks.

"Doctors and nurses should not be required to work in a climate in which fear of adverse circumstances of treatment prohibits future treatments being carried out."