Many miners had developed lung diseases

The news has been welcomed by campaigners in Wales who have led the fight for compensation for the 27,000 miners affected here.

The government's previously-announced coal health compensation scheme gives out payments by considering factors such as damage to health, loss of earnings and care costs.

But the absence of agreement on pension compensation had meant that in most cases only interim payments had been made.

Miners and widows are entitled to their justice and dignity, and the government is determined to deliver i

Energy Minister Peter Hain

Energy Minister, Peter Hain - who is the MP for the former mining area of Neath said he was delighted the stumbling block had finally been removed.

"The coal health compensation scheme is the biggest compensation scheme in legal history, and reaching agreement on pensions was the last piece of the legal puzzle," he said.

"We have finally swept away the last major hurdle and can crack on with making full and final offers."

He admitted there had been too many delays, but said he was grateful to the claimants' solicitors for their co-operation and would continue to work closely with them.

"Miners and widows are entitled to their justice and dignity, and the government is determined to deliver it," Mr Hain added.

'Government back-down'

The miners' union Nacods, which had been due to contest the issue in court in the next two weeks, said the government had backed down.

The union's general secretary, Bleddyn Hancock, said he was delighted the last legal obstacle had been removed.

"There is now nothing preventing widows from receiving full and final compensation.

"We must now ensure that the assessment of widows' claims proceeds as fast as possible."