LOCKERBIE, Scotland (Reuters) - Relatives of the 270 people killed in the 1988 bombing of Pan Am flight 103 over Lockerbie reacted with cautious optimism on Wednesday after Libya‘s Congress agreed to a neutral country trial for two Libyan suspects. "I feel this is a very important step forward,"" said Dr Jim Swire, whose daughter Flora was among the 259 passengers who died in the explosion over the Scottish town 10 years ago. Eleven more people died when wreckage from the plane hit the ground. "It is unlikely Colonel (Muammar) Gaddafi would contradict this announcement," he said. Libya‘s top legislative body announced on Tuesday it was satisfied with plans for a trial in a neutral country for the suspects, Abdel Basset Ali Mohammed al-Megrahi and Lamen Khalifa Fhimah. The United States and Britain, which have led the way in imposing U.N. trade sanctions on Libya, have agreed to a trial in the Netherlands. The main outstanding issue is where the accused would serve their sentences if convicted. Britain and the United States both insist it would have to be in Scotland. The 10th anniversary of the disaster has inevitably stirred painful memories and reopened old wounds in Lockerbie as the media circus descends once more on this tight-knit Scottish community. But the news from Libya offered a ray of hope after a decade of bitterness spent in the vain pursuit of justice. Both the U.S. and British governments adopted a wait-and-see attitude, while hopeful that the two suspects would be handed over before the 10th anniversary of the crash on December 21. Amid all the international diplomatic manoeuvres, the soft-spoken people of Lockerbie find painful images floating to the surface again.