Government faces an uphill battle if it hopes to get Britain to accept liability for asbestos waste left here by the Americans.

”We have always made it clear that costs for disposal and associated liabilities rest with the Government of Bermuda,” according to a Government House statement.

Liability is a major concern for Bermuda if the hundreds of containers filled with the cancer causing substance are shipped off the Island for disposal in another country.

Last week Premier Alex Scott said shipping the waste abroad was one of the options and that some countries had the technology to receive it and dispose of it or store it safely.

But Government is keenly aware that Bermuda could possibly be held liable if something goes wrong and the Island's asbestos causes massive health problems elsewhere.

Mr. Scott, who is off the Island, said last week that it could be argued that Britain holds legal responsibility for the asbestos since Bermuda is a colony and Britain negotiated the start and conclusion of the United States bases agreement.

It may take legal action to establish that argument. Government House yesterday said that the Bermuda Government knew well that Britain would not be accepting any liability.

Britain will pay for consultants to conduct a review of the problem and make recommendations, the statement from Governor Sir John Vereker's office said.

Asbestos health risks have been widely know for years and tens of thousands of legal claims for asbestos related diseases have been filed and settled costing firms in the United States alone hundreds of millions of dollars.

In response to a local Government request about a month ago, a search for the consultants who will carry out Bermuda's asbestos study is underway and the review will cover topics such as international regulations, health risks and the thorny issue of liability, the Government House statement said.

”The Government of Bermuda knows the British Government position perfectly well. Britain is prepared to help, but we've always made it clear that Bermuda is responsible for its disposal.”

Britain sees no moral responsibility either.

Much of the Island's asbestos waste was inherited from the United States which handed over its former Baselands here in March last year without agreeing to clean up any toxic waste.

The UK had negotiated the termination of the lease of the Baselands.

”The (termination) agreement was negotiated under an entrustment to us from the Government of Bermuda. And they were content,” said Government House.

It went on to say that since the asbestos waste on the Island was generated by the US Navy and from domestic sources, there was no “moral issue for Britain here”.