Parliament to launch inquiry into Horizon compensation delays

Parliament is to launch an inquiry looking at delays in compensation settlements for subpostmasters impacted by the Horizon scandal, ITV News Reporter Chloe Keedy reports

Words by Senior Producer Isabel Alderson-Blench

A parliamentary inquiry looking at delays in compensation settlements for subpostmasters impacted by the Horizon scandal will be launched next week.

The Business and Trade Select Committee will call government ministers, subspostmasters and their lawyers to give evidence across two sessions, starting in early November.

Post Office campaigner and chair of the Justice for Subpostmasters Alliance, Alan Bates, is expected to be invited to give evidence.

The inquiry will look into delays in subpostmasters receiving full and final compensation, as well as the processes behind the different schemes.

In an exclusive interview with ITV News, chair of the Business & Trade Select Committee, Liam Byrne MP spoke on what is causing the delays.

"What ministers are tell us is there is definitely a delay in people coming forward and saying 'I suffered and I'm owed a redress payment'. Ministers want people to step up and make sure those applications are in," he said.

"What we're hearing from subpostmasters is that if there is an argument about how much should be paid out, the first offer is made quite quickly but if there's a negotiation, that negotiation is dragging."

He added that they want to hear from subpostmasters to tell them what is "still going wrong" and what ministers can do to "speed it up."

The newly elected Business and Trade Committee met for the first time today to formally agree on the short inquiry taking place. The first evidence session is expected to take place at the beginning of November, with the second session in mid-November.

Mr Byrne said, "We on the committee are going to batter away at this, week in, week out, until it is job done. All of us on our committee are frankly horrified and outraged by how long this has taken and we're just not going to give up."

Former subpostmaster Joanne George is one of the 555 subpostmasters who were part of the Group Litigation Order, which is administered by the Department for Business and Trade. She has not yet received her full compensation settlement.

Ten years ago, Jo and her husband Nick had a home and three businesses - one of them a Post Office. Now, they are homeless.

Jo became the subpostmaster for Baschurch Post Office in Shropshire in 2013, which she ran as a family business alongside her husband, Nick, and son, Ross.

They ran the Post Office for three years, until an audit found a shortfall of £12,000 and Jo’s contract was terminated. She told us shortfalls were constantly an issue.

“Over the three years we had it, I hate to think how much I put in there,” she says. “​​[the Post Office] just threatened you all the time. They were bullies…They bullied us from the day they set foot in our shop."

She did not face criminal prosecution, but tells us she felt ‘scammed and bullied’ by the Post Office, whom she says bought her business back from her at a fraction of the true value.

After losing her job, business, and her home, Jo’s mental health has suffered.

Former subpostmaster Joanne George tells ITV News she'd love her old life back 'before the Post office'

“There’s many a time I’ve looked a cliff in Anglesey and thought, ‘shall I fly off that?’” Jo says.

On the delay in compensation payments, she says, “If they don’t hurry up, we’ll all be dead. There’s people older than us who have been fighting longer than us. If we’re at the end of our tether, I hate to think what they’re at the end of.”

A Post Office spokesperson said: “We apologise unreservedly for the hurt and suffering that was caused to victims of the Horizon IT Scandal and their loved ones. Today’s Post Office is focused on paying redress to those affected as quickly as possible so they can move forward with their lives.”

A spokesperson for the Department for Business and Trade said: “We recognise the immeasurable suffering postmasters like Joanne have endured and understand their frustration after years of inaction. But this Government is working tirelessly to provide full, fair and swift redress.

“At the end of September, approximately £363 million has been paid to over 2,900 claimants across the four financial redress schemes, including £97million through the GLO scheme.”

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What are the three main compensation schemes?

• Group Litigation Order (GLO) Scheme

This compensation scheme is for the 555 subpostmasters who were part of the High Court Bates & Others vs the Post Office group litigation.

The group won their case against the Post Office in December 2019, and the court awarded the 555 subpostmasters £56.75m in damages. After legal costs, subpostmasters were left with approximately £21,000 each. Many subpostmasters have criticised the decision to make them cover their own legal fees.

In January 2024, the government announced that it would be offering the option of an increased immediate settlement of £75,000 for each member of the GLO. Under this scheme, subpostmasters can either accept £75,000 upfront, or claim for more, dependent on their individual circumstances.

As of the end of September 2024, out of 555 GLO members, 208 had been paid full and final compensation. This scheme is run by the Department for Business and Trade

• Horizon Shortfall Scheme

This scheme is for subpostmasters who were not convicted of any crime, and were not part of the Group Litigation Order, but who lost money as a result of Horizon issues.

In March 2024 the government announced all eligible claimants to the Horizon Shortfall Scheme could settle for an immediate £75,000 sum.

More than 4,000 claims have been made under this scheme. Of these claims, 2,300 have been paid out. This scheme is run by the Post Office but claims are assessed by an independent panel.

• The overturned convictions scheme

This scheme provides financial redress to those who were wrongfully convicted of Horizon-related offences. Following a law that was passed in May 2024, exonerating everyone who was convicted of Horizon-related offences between 1996 and 2018, hundreds more subpostmasters are eligible for this scheme.

Subpostmasters can take an immediate £600,000 upfront settlement, or can submit a full claim and enter into negotiations if they believe they are entitled to more.

Out of more than 700 subpostmasters with overturned convictions, only 65 have received full and final compensation. This scheme is run by the Post Office, with oversight by the Department for Business and Trade.

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