The inquiry, which will be chaired by the Right Honourable Lady Cosgrove, will consider issues such as the sources of blood and blood products used by the NHS in Scotland at the time, the demand for blood products, the introduction of heat treatment for blood and blood products and whether this could have taken place earlier, and the introduction of effective screening of blood donations. It will also investigate the deaths of Rev. David Black and Mrs Eileen O’Hara and meet the obligations of Scottish Ministers and the Lord Advocate under Article 2 of the European Convention of Human Rights. 

In a statement to the Scottish Parliament Sturgeon said the inquiry was a victory for campaigners who had spent more than 15 years pursuing answers. 

She said: "The people affected, and their families deserve nothing less than answers to these questions. If they are to achieve any sort of closure, we need to get to the bottom of one of the NHS' most tragic episodes. 

She described the inquiry as a “major milestone” for the Scottish Government and everyone affected by the transmission of Hepatitis C and HIV. 

"Many people in Scotland have suffered or died as a result of the transmission of Hepatitis C and HIV by this route and nothing will ever compensate for that. But they and their families do deserve answers. 

"This tragedy has blighted the lives of a number of people in Scotland and we are committed to a thorough inquiry to get to the bottom of what happened. We owe an explanation to patients and the public of what took place. We are determined to provide that. The Scottish Government also has a duty to ensure that lessons have been learned for the future." 

Chris James, chief executive of the Haemophilia Society, said they will be looking for the inquiry to provide “detailed answers to comprehensive questions”. 

He said: “For too many years campaigners across Scotland have been refused a public inquiry to address serious concerns about lethal infections being transmitted by blood and blood products used as part of NHS Scotland treatment.  We will look to this inquiry to provide detailed answers to comprehensive questions about how people came to be infected and how the infections disaster has been responded to. 

“This will be the first time that any part of government has investigated these infections in public.  The relatively wide proposed remit is very welcome.  The Scottish Government have recognised that it makes little sense to investigate Hepatitis C and HIV separately in this context and we hope that approach will allow consideration of other blood borne pathogens where appropriate as the inquiry unfolds.” 

He added that they hope to be able to make a substantial contribution to helping to develop the most appropriate remit and ensuring that the issues of confidentiality, accessibility and support are integral to the approach of the inquiry.

Mary Scanlon MSP, Shadow Cabinet Secretary for Health and Wellbeing, welcomed the inquiry, saying it has been on the agenda of the Scottish Parliament since 1999.

“Nothing can undo the pain and suffering to individuals and their families, but this is an important step,” she said.

However, she added: “Given that the terms of reference are inquisitorial rather than adversarial, we would like to know that if a substantial amount of evidence is forthcoming, whether or not there will be a revisitation in relation to compensation payments.”