The Post Office’s IT scandal compensation systems need to be improved and legal advice for victims funded, according to the government, which could create an independent body to deal with similar miscarriages of justice in the future.
These announcements were made as part of the official response to the damning conclusions of the first volume of Horizon conclusions of the investigation, published in July.
The focus was on the “disastrous” human impact of false thefts and false accounting charges made against at least 1,000 postmasters due to the faulty computer accounting system used by the Post Office.
The retired judge who chaired the two-year inquiry, Sir Wyn Williams, made 19 recommendations.
Last money: Morrisons ends free drinks refills
The government said Thursday that only one would not be selected.
His promises included funding for legal advice for postmasters, reparations for immediate family members – a measure that had been announced previously – and a new appeals process, with funded legal advice, for those who accepted package deals from the Horizon Shortfall Scheme (HSS).
HSS, which is run by the Postal Service and is the subject of numerous claims related to undervaluation of receivables, covers compensation for postmasters who were not wrongly convicted of a crime but lost money because of the concealed IT deficiencies.
Those who apply can choose between a fixed offer of £75,000 or a full assessment of their case if they feel they are entitled to a higher amount.
Please use Chrome browser for a more accessible video player
What have we learned from the Post investigation?
Closing this system to new applicants – recommended as part of efforts to strengthen the independence of its offers – will take effect at the end of January next year rather than November.
It was further announced that Sir Gary Hickinbottom had been appointed senior counsel to oversee the HSS.
Please use Chrome browser for a more accessible video player
A “trauma” at the heart of the Horizon scandal
Post Office Chairman Nigel Railton said: “We have worked closely with the Department of Business and Commerce to respond to the recommendations in Volume 1 of Sir Wyn Williams’ Inquiry Report and to accelerate the payment of reparations to those who have been affected by this terrible scandal.
“I am pleased that we have made progress, with more than £1.2 billion now paid to 9,100 people across all schemes. But there is still work to do.
“We accept the recommendation that a date should be set for the closure of the Horizon Shortfall Scheme. We have now agreed with the Department of Business and Commerce that 31 January 2026 should be the deadline for accepting new applications for the Horizon Shortfall Scheme. We have chosen this date, which is later than that proposed by Sir Wyn Williams, to give potential applicants more time to review and submit their applications after the peak Christmas period, which is particularly busy for current postmasters.
“I would encourage any current or former postmaster who thinks they may be eligible for the Horizon Shortfall Scheme to contact us before the closing date. We have a dedicated claimant support team available by telephone to discuss your options, provide assistance and answer any questions you may have so we can begin processing your application straight away.”
The government said a “clear definition” of what constitutes “full and fair redress” will also be published to provide greater clarity to claimants and their representatives who have long complained about their treatment.
Learn more:
Post investigation report reveals new injustice
Key points from the Horizon scandal report
Work has also begun on a restorative justice project for postmasters and their families in partnership with Post Office and Fujitsu, the company responsible for the Horizon system.
A Fujitsu spokesperson said: “We have apologized and deeply regret our role in the suffering of subpostmasters. Our partnership with the Restorative Justice Council, announced last month in response to the inquiry’s recommendation, reflects our commitment to building a restorative justice framework that not only supports those affected, but is also shaped by them.”
“We will provide further details of this program to Sir Wyn before the inquiry deadline of October 31.
“We remain committed to providing our full cooperation to the investigation as Sir Wyn prepares his final report and we are in contact with the Government regarding Fujitsu’s contribution to compensation.”
Sir Wyn’s recommendation to end the HSS dispute resolution process was not accepted, but the government said it was currently exploring the creation of an independent body to oversee the appeals process in the event of a similar scandal in the future.
Business Secretary Peter Kyle said: “We must never lose sight of the postmasters aggrieved and affected by the Horizon scandal, which the inquiry has highlighted so well.
“There is clearly much more to be done to bring justice to those affected. The recommendations we accept today will be a crucial step in that direction.”