Committee concern over plaques damages payments
13 Oct 08
Stage 1 report queries whether enough money to compensate asbestos victims
The Scottish Parliament’s Justice Committee has expressed its concerns about the financial implications of paying out damages to those with asbestos-related conditions.
In its stage 1 report published today, the committee says it supports the Damages (Asbestos-related Conditions) (Scotland) Bill, but questions whether the finances quoted in the bill will be adequate.
The bill is designed to reverse the House of Lords' ruling a year ago that pleural plaques caused by exposure to asbestos are not in themselves compenssatable harm. The committee acknowledged the medical evidence supporting this conclusion but concluded that, given that damages had been awarded for the condition for the last 20 years, it was right and proper that pleural plaques sufferers should be able to continue to pursue compensation, reflecting the greatly increased risk of mesothelioma.
However the committee queried whether the Government's estimate of the costs to defenders, which include government departments and local authorities, of settling the cases were accurate, while not accepting the much higher figures put forward by the insurance industry. It is asking the Scottish Government to consider again whether its projections are accurate and to provide the parliament with reassurance on this point.
Committee Convener Bill Aitken MSP said: "Given that people with pleural plaques have been negligently exposed to asbestos and given that for the last 20 years they have been awarded damages, it is appropriate that damages should continue to be awarded.
"However, the committee is concerned that the figures provided by the Scottish Government in the Financial Memorandum might not accurately reflect the full costs of the bill. Equally worrying to the committee is the potential impact on the Scottish budget if UK Government departments, such as the Ministry of Defence, pass their liability onto the Scottish Government.
"It is essential that these specific matters are resolved prior to the bill being approved by the Parliament as a whole at stage 3.”
The stage 1 debate on the bill is scheduled to take place in November.