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The existing policy of not compensating haemophiliacs with HCV was adhered to by Lord Hunt, in response to which it was recorded that Susan Deacon "will be vvv relieved!"

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The Scottish Parliament received a petition on Hepatitis C, which called for the establishment of a system of compensation.

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The Scottish Parliament received a petition on Hepatitis C, which called for an independent inquiry.

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After the judgment in A and Others v National Blood Authority, Susan Deacon wrote to Lord Hunt to urge the Department of Health/National Blood Authority to seek permission to appeal the decision.

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Lord Hunt informed Susan Deacon that the Department of Health had decided "reluctantly" not to appeal the decision in A and Others v National Blood Authority.

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A debate took place in the Scottish Parliament on a motion in support of compensation for people infected with Hepatitis C.

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Notwithstanding the recommendation of the Health and Community Care Committee, Susan Deacon told John Hutton, Minister of State at the Department of Health, that "We will hold the current view" - of no compensation - "and try and sustain it as best we can".

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A submission was provided to the First Minister, recommending that the Health and Community Care Committee's recommendations be rejected and that instead the Executive should offer to set up an expert group to examine whether the general principle of offering financial and practical support was right and practicable.

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Malcolm Chisholm, who had replaced Susan Deacon as Minister for Health and Community Care by this date, stated that the Executive response appeared to rule out financial compensation, however it was justified in order to avoid "establishing a new, wide-ranging precedent on compensation."

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The Scottish Executive provided a Report on Hepatitis C in response to the Health and Community Care Committee.

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Robert Stock, head of the Scottish Executive's ancillary services branch, felt that the Expert Group on Financial and Other Support had omitted to take into account aspects of their terms of reference.

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A Cabinet paper recorded that Malcolm Chisholm did not feel it would be right to accept the recommendation of the Expert Group as it stood.

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Malcolm Chisholm concluded that accepting the Expert Group's recommendation in principle with a reduced scope was the 'least bad option'.

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In an email from Sammy Sinclair to Charles Lister, Malcolm Chisholm was described as feeling as though he had to offer payments to people once they become seriously ill.

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Letter from Malcolm Chisholm to Andrew Smith, the Secretary of State for Work and Pensions, asked whether payments were within devolved competence and if social security legislation required amendment to disregard any payments that the Scottish Executive might decide to make.

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The Scottish Executive's response to the Expert Group's preliminary report was announced.

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Meeting held between Malcolm Chisholm, representatives from the financial services sector and representatives from the Scottish Haemophilia Groups Forum and Scottish Hepatitis C Group.

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Lord Ross and Philip Dolan gave evidence to the Health and Community Care Committee in support of the Expert Group's preliminary report.

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Prior to Malcolm Chisholm's appearance before the Health and Community Care Committee he was provided with a briefing, including lines to take.

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Robert Stock provided a submission that costed a scheme on the basis of making lump sum payments of £20,000 to all those who had Hepatitis C - with a further £25,000 to those who had cirrhosis, liver cancer or liver failure.

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