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The British government is offering £600,000 compensation to postal workers wrongly convicted of an IT system failure each, as officials try to draw a line under the long-running scandal.
Between 2000 and 2014, more than 700 people were wrongly prosecuted for theft due to flaws in the state-run post office’s Horizon computer system. To date, 86 convictions have been overturned.
Postmasters whose convictions were overturned will receive a lump sum compensation, the Department of Commerce and Trade said on Monday, adding that they did not have to accept the payment if they wished to continue with the current compensation process.
Post Office Minister Kevin Hollinrake said the announcement was “to right a wrong and provide some form of relief to those who were wrongly involved in the scandal”.
He added: “The government remains committed to seeing this matter through to the end until the issue is resolved and ensuring this does not happen again.”
But some lawmakers and peers say the proposal fails to solve problems for many people and that few of those affected would qualify.
“This does not address the fundamental issues of injustice, delays and costs,” said Conservative peer Lord James Arbuthnot, a member of the government’s independent advisory committee on post office pay.
“I’m quite skeptical that this amount will be enough to attract many buyers, but it’s a small but useful step,” he added.
Ministers have set aside a total of £1 billion in compensation under various schemes. According to the Post Office, more than £120m has been paid out to 2,600 individuals affected by the Horizon scandal.
In July, the head of the public inquiry into the Horizon scandal warned that victims were facing severe delays in funding due to a “patchwork of compensation schemes”. Monday’s proposal is an effort to streamline the process.
Kevin Jones, Labor MP for North Durham and a member of the independent advisory committee, said many of the affected postmasters remained too traumatized to come forward, which posed a key obstacle to justice.
Monday’s announcement applies to those wrongfully convicted, while others facing bankruptcy and reputational damage are eligible for compensation under a separate scheme.
Some 555 postmasters settled with the Post Office after a 2019 High Court ruling helped uncover the scandal, but most of the compensation was used to cover legal fees.
In March, the government launch a plan to compensate these people.
The Post Office said Monday’s proposals were optional and affected postmasters should still seek independent legal and professional advice.
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