RURAL firms which were devastated by the indirect effects of the foot-and-mouth crisis are planning to sue the Government for allegedly neglecting their plight.

Many traders in North Yorkshire are joining forces in a group legal action, which they believe could secure hundreds of thousands of pounds in damages.

Hotels and restaurants, which suffered a sharp decline in trade as the countryside was effectively shut down during last year's epidemic, are furious at the Government's handling of the crisis.

They claim that while livestock farmers were given billions of pounds in compensation in the aftermath of foot-and-mouth, the secondary areas of the rural economy were overlooked.

York solicitors Langleys is gathering support for the group action. Its experts believe the Government may have acted illegally after the discovery of the disease - and that businesses dependent on the countryside could be eligible for compensation as a result.

They say that many business owners will only be beginning to see the full financial impact of the crisis now - more than six months after the last reported case of the disease.

Jonathan Mortimer, of Langleys, said that while any legal challenge would be "massively complicated", business owners would have strength in numbers.

Two Harrogate businesses - the creative marketing company, Face Design Consultants, and Boneshakers cycling shop - are forming part of the legal challenge.

Boneshakers owner Martin Lancaster said he lost 25 per cent of his revenue last year because of the closure of paths and the unwillingness of people to visit even the open areas of countryside.

He said: "It's a long shot, but if we can get enough people, it could work."

Eileen Blakeley, of Delta Discounts, in Pickering, said her business had been badly affected, but received little Government support.

"Group action is a good idea. The farmers got compensation, but nobody seemed bothered about us," she said,