Deputy Prime Minister John Prescott is expected to give the government's response to a task force that looked at the unemployment-hit areas at a conference in Durham on Tuesday

John Prescott announces new measures on Tuesday

The task force, established last year, made recommendations on how to boost job creation, improve the environment and give aid to communities hit by the decline of the coal industry.

The Coalfield Communities Campaign, which represents 80 local authorities, expects the government to establish a new enterprise fund and a regeneration trust.

The campaign's chairman, Bill Flanagan, said: "We eagerly await John Prescott's announcement and hope this marks the start of a great leap forward for former pit communities."

There are only about 17,000 coalminers left in the UK, and falling sales have put further jobs in jeopardy.

In October the government halted the building of gas-fired power stations, greeted as good news by the coal industry.