Jeremy Hunt said “no decisions” have been made over compensation for the victims of the “terrible” contaminated blood scandal following their decades of suffering.
Appearing before the official Infected Blood Inquiry on Friday, the Chancellor said he cannot ignore the challenging economic context when making judgments on “potentially very large” sums of money.
Mr Hunt said he is “absolutely content” the Government is working “very fast” on setting out a full compensation scheme.
But campaigners who hoped he would commit to setting aside the funds to compensate the thousands affected by the scandal said they were “disheartened beyond words” by his failure to offer any details or timetable.
Thousands died in what is widely recognised as the worst treatment disaster in the history of the NHS after being given contaminated blood products in the 1970s and 1980s.
Declining to comment on where the funding would come from, the former health secretary said: “No decisions have been made about the level of compensation or how it will be funded.”
The Treasury chief said he will have to take into account the “challenging” economic situation when deciding what is affordable for the taxpayer.
“It’s a very uncomfortable thing for me to say but I can’t ignore the economic and fiscal context, because in the end the country only has the money that it has.”
I appreciate that from the outside it feels like the Government is working painfully slowly and I appreciate the moral urgency given that people are dying— Chancellor Jeremy Hunt
Mr Hunt insisted ministers “totally understand the urgency of the situation”.
“There is a need for justice to be as quick as possible for what has been a terrible scandal.
“I appreciate that from the outside it feels like the Government is working painfully slowly and I appreciate the moral urgency given that people are dying.
“But I am satisfied, as Chancellor, that the Government is working very fast to try and resolve this as quickly as possible.”
It comes after Rishi Sunak was heckled and laughed at by those watching the proceedings in central London earlier this week when insisting ministers were working quickly to deliver the payments.
The Prime Minister confirmed the Government will wait until the conclusion of the official inquiry – expected in the autumn – before outlining further details.
Mr Hunt said it is important ministers have the “full context”, adding: “What would not be acceptable would be for that moment to be another hiatus.”
Inquiry counsel Jenni Richards KC asked the Chancellor whether ministers might wait until after the final report to announce a payment scheme in order to “take the sting out” of the potentially critical report with good publicity.
Mr Hunt was met with loud applause when he replied that “there is no good news story in this scandal”.
Campaigners want the Chancellor to agree to allocate the funds to establish the compensation scheme recommended by the inquiry chairman.
They also want him to agree to interim payments for those who have not received them under emergency measures as victims continue to die at a rate of one every four days.
Responding to the Chancellor’s evidence to the official inquiry, Factor 8 director Jason Evans said: “Despite the pressing need for immediate acceptance of the inquiry’s recommendations, Hunt squandered this decisive opportunity to expedite the pursuit of justice for the aggrieved victims and their families.
“We are disheartened beyond words. His inaction is a bitter sting, a stark reminder of unfulfilled promises.”
It was the second time Mr Hunt gave evidence to the inquiry, which was set up in 2017 to investigate how thousands of patients in the UK developed HIV and hepatitis C through contaminated blood products.
About 2,900 people have since died.
Many had the blood-clotting disorder haemophilia and were given injections of the US product Factor VIII.
Under an initial scheme, only victims themselves or bereaved partners can receive an interim payment of around £100,000.
