The existing Disability Discrimination Act is to be extended to cover people with such conditions as cancer, HIV and Multiple Sclerosis, ministers announced on Wednesday.

Under the government's Draft Disability Bill, the law will also include almost all activities of the public sector, and will require all organisations to actively promote the equality of opportunity for disabled people.

Local councillors and larger private members' clubs will also be covered by the extension of the existing legislation, while disabled people will be given greater rights to challenge discrimination when renting property.

In addition, rail companies will be given an "end date" by which their trains must be compatible for disabled people.

"The draft bill is a signal that we are not only honouring the commitment we made to disabled people, but going beyond it," said minister for disabled people, Maria Eagle.

"It would allow disabled people to challenge more effectively discrimination in many walks of their everyday lives - such as renting a home, using transport services or joining a private club.

"And an important new measure would help break down institutional barriers found in the public sector.

"We have developed this draft Bill during the European Year of Disabled People and are proud that we remain among the leading countries ensuring that disabled people have comprehensive civil rights."

The move has been welcomed by the Disability Rights Commission.

"The Bill offers the long awaited right for disabled people to use public transport, it deals with injustices caused to cancer and HIV sufferers by providing protection from discrimination and makes it clear that the functions of public bodies are now covered within it's scope," said chairman Bert Massie.

"The provision for a public sector duty to promote disability equality similar to that used for race will have seismic implications in reforming practices and policies across a wide reach of activities bringing about systemic progress for all disabled people.

"The DRC will work with the government on the Bill in the months ahead to secure its actual passage as soon as possible."