The TUC has expressed "disappointment" after a group of trade unions lost their High Court battle against new equality regulations.

A judge rejected the union claim the Government's 2003 Employment Equality (Sexual Orientation) Regulations failed to protect lesbian and gay workers from being discriminated against by "faith-based" employers and dismissed the claim that exemptions for religious organisations would effectively allow discrimination.

The unions also failed in their complaint that the new regulations breached European and domestic law because employers could exclude same-sex couples from pension and benefits rights enjoyed by heterosexual married couples.

Mr Justice Richards, sitting in London, ruled the domestic regulations were neither incompatible with the EU Directive they were made under, nor with the European Convention on Human Rights.

In his ruling, the judge said it was "self-evident" that the case concerned "fundamental rights of great weight, which were recognised both in Community law and the convention".

The judge added: "The right not to be discriminated against on grounds of sexual orientation is not, however, an absolute right.

"Much of this case is concerned about striking the balance between that right and other interests."

Brendan Barber, general secretary of the TUC, said: "The judgment is very disappointing."

The unions involved, including Amicus, Unison, the Public and Commercial Services Union, the RMT and teaching unions NUT, NASUWT and NATFHE would consult their legal teams to decide what to do next, he said.

Tuesday April 27, 2004