Anne Bucher , Abraham Jewett  |  September 29, 2023

Category: Labour & Employment

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Post Office in London.
(Photo Credit: Tupungato/Shutterstock)

Update:

  • Postmasters’ wrongfully convicted and who later had their conviction overturned due to it being reliant on Horizon software evidence will be eligible for £600,000 in compensation, according to the UK government.
  • The government said it will also continue to cover legal fees for the Postmasters, who were wrongly accused of fraud, mail theft, and false accounting.  
  • A total of 86 convictions have been overturned so far, with £21 million in compensation paid. 
  • Postmasters who choose not to accept the government’s £600,000 compensation offer will be able to continue with their existing legal process. 
  • The Postmasters were wrongly accused of their crimes due to an issue with the Horizon computer software that was used by UK Post Office branches between 2000 and 2014. 

UK Post Office scandal compensation overview:

  • Who: The UK government says that 555 subpostmasters who helped to expose a massive UK Post Office scandal will be compensated at the same level as other postmasters who had been wrongly accused of fraud, mail theft and false accounting due to computer software problems.
  • Why: Their settlement payments had been significantly diminished due to legal fees, causing them to receive far less compensation than other subpostmasters.
  • Where: The UK Post Office scandal case was pending in the High Court.

(March 28, 2022)

The UK government has announced that subpostmasters who helped to expose a massive scandal within the Post Office will be compensated at the same level as other subpostmasters who were wrongly accused of fraud, theft and false accounting due to computer software errors.

In 2019, the 555 subpostmasters won a civil case against the post office. However, most of their settlement payouts were significantly reduced due to legal fees.

Under the new UK government compensation plan, Yahoo News reports that the subpostmasters will receive the same level of payment as other wrongly convicted subpostmasters.

Public inquiry into the Post Office scandal is ongoing.

UK Post Office wrongly accused employees of fraud, theft, false accounting

Hundreds of subpostmasters and mistresses were reportedly wrongly accused of fraud, theft and false accounting because of an issue with the Horizon computer software used within UK Post Office branches between 2000 and 2014.

Some of the wrongly accused postmasters were reportedly convicted of the crimes.

The inquiry into the UK Post Office scandal is expected to continue through the end of 2022 and will question whether the post office was aware of problems with the Horizon software system and why the postmasters were left to take the blame for the issues caused by the faulty software.

The group of 555 subpostmasters won their landmark case against the post office, which ultimately led to 72 criminal convictions being overturned. Most of these wrongly convicted postmasters reportedly received up to £100,000 in compensation.

The post office agreed to compensate more than 700 former branch managers who had personally covered shortfalls in their branch accounts that were due to Horizon software problems. The post office also agreed to refund 2,500 others for their financial losses, although Yahoo News reports that most still have not been paid.

However, the 555 postmasters were unable to participate in the compensation scheme even though their case won nearly £43 million in compensation. Therium, the company that funded their case, had agreed to take the case based on a “no win, no fee” arrangement.

As a result, the Treasury said the postmasters were paid only a “small fraction” of the post office scandal settlement, receiving approximately £20,000 each.

Therium has waived its rights to claim any of the money from the new postmaster compensation plan.

555 postmasters to receive equivalent of other post office workers

Business minister Paul Scully reportedly told the BBC’s Today programme that the payments to the 555 postmasters would be equivalent to the amount other Post Office workers were paid. He referred to the postmasters as “pioneers” who had “broken open” the UK Post Office scandal.

“I want to make sure they get that full compensation,” Scully said. “It’s a massive scandal and it’s something I am absolutely determined to put right.”

Are you a postmaster who has been affected by the UK Post Office scandal? Tell us about your experience in the comments section below!


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