Remove Post Office from Horizon scandal compensation schemes, urges Westminster committee

The cross-party Business and Trade Committee has today published its recommendations for delivering faster and fuller payments to Horizon scandal victims following an “abject failure” of delivering redress to date.

The report recommends ending the Post Office’s involvement in any redress programmes, labelling it as “not fit for purpose to administer any of the schemes required to make amends”. It cites both victims’ lack of confidence in the firm that “ruined the lives of innocent sub-postmasters” and its chaotic leadership.

The Committee calls on the Government to create a “properly resourced” independent intermediary that would offer legal and forensic accounting services to victims to ensure victims are equipped with all the facts and figures they need to secure fair redress and compensation.

Committee Chair Liam Byrne said: “Justice delayed is justice denied. And bluntly justice has been denied to our innocent sub postmasters for far too long. It’s high time for the circus of recent weeks to end and for cheques to start landing on the doormats of innocent victims. 

“We now know the Post Office knew of problems twenty years ago. Yet at best, only £1 in £5 of the budget for compensation has been issued. That is a national disgrace”.

The spectacle of the battle between the Post Office chief executive and its former chairman light up a simple truth; that the top of the Post Office is in utter disarray and not fit for purpose to run the payouts to former sub-postmasters.

It’s involvement in running Post Office redress schemes has to end and ministers must create a new, independent body set up that will genuinely help victims through their every stage of their compensation claims.”

Five years on from the landmark court case victory by former sub-postmasters led by Alan Bates over the Post Office, only 20% of funds set aside for redress have been spent. Many cases have been stalled by the Post Office’s sluggish disclosure mechanisms.

To stop “unacceptable delays”, the report says strict deadlines by which each stage of the redress process will be delivered for each case should be legally-binding. Fines for delays should be paid to claimants, it adds.

Mr Byrne added, “To guarantee this scandal drags on no longer, we have to enshrine into law an idea proposed by Mr Bates, of legally binding timetables for payouts. Any new Bill that the Government presents to parliament, must now pass the ‘Mr Bates Test’ of legally binding timeframes for settling justice.

“Finally, we have to make sure that fast compensation is fair compensation. Otherwise, we risk innocent sub-postmasters to face a new prison of poverty. We cannot and must not let that happen.”

Other measures recommended by the report include removing a cap on legal expenses for sub-postmasters and a standardised set of tariffs to help victims to better estimate what they are entitled to.

MSP: Post Office Horizon scandal is “catastrophic miscarriage of justice”

Scottish Labour MSP Foysol Choudhury yesterday (9th January 2024) raised concerns in the Scottish Parliament about the “catastrophic miscarriage of justice” that is the Post Office Horizon scandal.

Between 1999 and 2015, more than 700 sub-postmasters and sub-postmistresses  were convicted after Fujitsu’s faulty Horizon software used by the Post Office made it look like money was missing.

Many maintained their innocence and after decades of campaigning, won the right for their cases to be reconsidered. The scandal is now back in the public spotlight after an ITV drama depicted the case.

In 2020, the Scottish Criminal Cases Review Commission (SCCRC) wrote to at least 73 potential victims of the Horizon scandal in Scotland. However, as of the end of 2023, reportedly only 16 of those had come forward to ask for a review of their conviction. 

Mr Choudhury questioned the Cabinet Secretary for Justice, Angela Constance, on how the Scottish Government will ensure that all others potentially wrongfully convicted are supported in coming forward if they wish for their conviction to be overturned.

Mr Choudhury said afterwards: “There are many people potentially affected by wrongful convictions in this scandal who have not yet come forward to ask for a reconsideration. 

“There are many more who were not convicted but for whom the false accusations severely impacted their reputation, career, relationships and mental health.  

The Scottish Government must continue to liaise with the Crown Office and Procurator Fiscal Service (COPFS) regarding the number of people in Scotland who were prosecuted and how a Scotland-specific response can be established by COPFS, who hold sole responsibility for prosecutions in Scotland .

When I asked the Cabinet Secretary today, she dodged the question about whether the Scottish Government expects to be liable for the compensation costs, instead referring to the UK Government compensation scheme. 

“The Scottish Government must urgently consider what liability Scottish authorities hold for victims in Scotland who were wrongfully prosecuted.

Mr Choudhury also asked the Scottish Government if it has held discussions with the UK Government regarding the responsibility of Fujitsu in this scandal, highlighting that Fujitsu have not faced any financial repercussions and have reportedly been awarded more than 150 Government contracts since the scandal.

The Lothian list Labour MSP says he will continue to fight for justice on behalf of his affected constituents.

Prime Minister Rishi Sunak says the government will bring in a new law to “swiftly” exonerate and compensate victims of the Post Office scandal.

He told MPs at PMQs today that, as part of this, there will be a new up-front payment of £75,000 for 555 former postmasters who brought a group lawsuit.