A £600 million compensation package for farmers hit by foot and mouth will finally be announced by the government today.

Nick Brown will announce the figure in a statement to MPs on Monday ahead of the Easter recess.

The bulk will be release as "agromoney" payments and £247 million will be paid out in direct compensation for slaughtered animals.

His announcement will be made against news at the weekend that the disease has spread for the first time to new areas. It is believed that the disease was carried by vehicles from one of the infected areas. A further two cases have been confirmed in Cumbria bringing the total number of cases to 1136.

The agriculture minister has refused to be drawn as to whether the government's slaughter policy is working yet. He is expected to tell MPs that it will be at least a week before any assessment can be made and until then "we can't and won't drop our guard".

Farmers received more bad news in a survey by the NFU which found 66 per cent of people who had been planning Easter breaks in rural areas had cancelled them.