The government is set to launch a public consultation on the banning of cages for laying hens, animal welfare minister Elliot Morley has announced.

Under an EU directive, farmers will be banned from installing new barren battery cages from January 2003, with a complete ban in force from 2012.

Instead, enriched cages will be used giving hens greater room.

However, the government is now seeking to ban battery farming completely, with a phasing out of the practice of beak trimming, which will continue until the end of 2010 under current rules.

The current regulations apply only in England, with similar rules being planned in the Scottish parliament and the assemblies in Northern Ireland and Wales.

Germany has already banned the use of both barren and enriched cages.

"The consultation will be open, wide and transparent, all interested parties will have a chance to put their views and we will listen to what they have to say," said Morley.

"I want to see an action plan, developed with stakeholders, which takes account of our increased understanding of what triggers feather pecking and addresses on-farm management issues."

More than 70 per cent of eggs bought by British consumers are produced in battery farms.

Animal welfare groups welcomed the announcement.

"The RSPCA is delighted with the announcement of a consultation on battery cages and looks forward to playing a full part," a spokesman said.

"The society has campaigned long and hard for a ban on this cruel system and only two weeks ago lobbied MPs and peers at Westminster over a free-range egg brunch.

"If other countries can ban all battery and modified cages, as German has voted to, then there is no reason why the UK should not follow suit. There are very few modified cages being used commercially as yet.

"The RSPCA believes they do not meet the welfare requirements of laying hens, not least because the cages are not big enough to allow birds to flap and stretch their wings properly. "

However, the National Farmers Union warned that the practice could be adopted abroad.

"We need an informed debate on this issue. One that takes into account all the facts and possible outcomes. If a decision were taken to ban all laying cages, then controls on inferior imports must also be introduced," said Charles Bourns, the union's poultry chairman.

"It is not good enough to ban their use in this country and then bring in eggs by the back door that have been produced to welfare standards below those set in this country.

"Government must not be tempted into a popularist move without thinking it through."