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Monday 17 July 2023 3:42 pm  |  Updated:  Monday 17 July 2023 5:30 pm

Post Office scandal: Government urged to sort compensation delays for victims

By: Jess Jones

TMT Reporter

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Fujitsu has had more than a billion dollars wiped off its value within just eight days, according to data platform Alt Index.
Fujitsu has had more than a billion dollars wiped off its value within just eight days, according to data platform Alt Index.

Sir Wyn Williams, chair of the Post Office Horizon IT inquiry, has called on the government to address compensation issues faced by sub-postmasters affected by the scandal.

In an interim report presented to parliament today, Williams recommended legislative changes and stronger support for the Horizon Compensation Advisory Board.

He brought forward the investigation of compensation issues after hearing testimony from a “significant number” of affected sub-postmasters, who “demonstrated the scale of the suffering and financial loss” caused by the Horizon IT scandal.

Williams said the Post Office and government must fulfil their previous commitments to “promptly” deliver “full and fair” compensation, arguing there is not “any valid legal reason” hindering them.

The commitments should also apply to all three of the Historical Shortfall Scheme (HSS), the Overturned Historic Convictions Scheme (OHCS), and the Group Litigation Order Scheme (GLOS).

“The object of each scheme is to put the sub-postmaster into the position in which he/she would have been had he/she not been the victim of unlawful tortious behaviour,” the inquiry’s chair wrote.

To “maximise” the role of the Horizon Compensation Advisory Board, Williams suggested the board should monitor individual compensation cases to ensure that payments are fair.

The report requests prompt action from the Department for Business and Trade and urges the publication of proposals to ensure fair compensation for all postmasters entitled to it.

He later added that his final view on whether the schemes successfully delivered compensation will follow in a further investigation.

Read more

Two solicitors linked to Post Office scandal charged with misconduct

One contract was even an extension of the Horizon deal with the Post Office itself, worth £63m.

Initially responding to the interim report, the parliamentary under secretary of state, Kevin Hollinrake, said: “Government will review this report and consider how to respond to its content in due course.

“I would like to thank Sir Wyn Williams and to everyone in his team for their ongoing work and commitment to delivering the Inquiry’s work on these issues. It is vital that we establish the facts behind this scandal and learn the lessons so that something like this can never happen again.”

Later on, Business and Trade Committee chair Darren Jones added: “Ministers promised the House that victims would be put back into the position they would have been in, had this miscarriage of justice not happened in the first place.

“But testimony from victims shows that the amount of compensation they’re receiving goes nowhere near that. These poor people have been through enough, without having the Post Office managed scheme haggle down their compensation when executives have walked away with thousands of pounds in unacceptable bonus payments for giving evidence to the inquiry.

My Committee has previously called for the compensation scheme to be run independently of the Post Office and Government, and we have called for Post Office executives to hand back 100% of their bonuses as they relate to the statutory inquiry. We call for that to happen once again.”

Over 700 branch managers are thought to have been wrongly convicted for false accounting and theft between 2000 and 2014 after a fault in an accounting software called Horizon made it appear as though money was missing. The scandal has been described as one of the biggest miscarriages of justice in UK history.

A Post Office spokesperson said: “We welcome Sir Wyn’s interim report and share his view that victims of the Horizon scandal must be provided with full compensation, fairly and consistently. This remains our priority. 

“Across Post Office’s compensation arrangements, offers totalling more than £120m have been made to around 2,500 Postmasters, with the majority of these agreed and paid. Interim payments continue to be provided in cases not yet fully resolved.

“Regarding late applications to the Horizon Shortfall Scheme, we can confirm that we continue to accept eligible late applications and publish data each month showing the progress we’re making in resolving these applications and the level of compensation paid.” 

Read more

British Gas to cough up £20m for ‘unfair treatment’ of vulnerable customers

British Gas owner Centrica said it expected earnings to be in line with analyst expectations.

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