London Daily

Focus on the big picture.
Wednesday, Jul 02, 2025

UK taxpayers to pay former Post Office workers up to £1bn compensation

UK taxpayers to pay former Post Office workers up to £1bn compensation

Post Office says it can’t afford bill owed to those wrongly convicted of theft due to defective Horizon IT system
UK taxpayers could have to pay as much as £1bn in compensation to former Post Office workers wrongly convicted of theft due to the defective Horizon IT system.

The system, which was installed by the Post Office and supplied by Fujitsu, falsely suggested there were cash shortfalls, leading to 736 unsafe convictions for theft, fraud and false accounting in what is one of the biggest miscarriages of justice in British legal history.

The Post Office has said it cannot afford to foot the huge cleanup bill for the scandal and last month the government, the service’s only shareholder, confirmed the taxpayer would step in.

This weekend new details of the potential magnitude of the compensation programme emerged.

The Post Office Scandal blog by the journalist Nick Wallis, who has written a book on the fiasco, reported that the Department for Business, Energy and Industrial Strategy (BEIS) has now made three grants available to the Post Office that total just over £1bn.

The most recent grant, made last month, was for £686m, and came on top of previous awards of £94m and £233m. In his post, first reported by the Sunday Times, Wallis said the figures involved meant the Post office Horizon IT disaster was now a “fully fledged £1bn scandal”.

Between 2000 and 2014, the Post Office prosecuted 736 post office operators based on information from a recently installed computer system called Horizon. Some of the workers were jailed following convictions for false accounting and theft, and many were financially ruined.

However, it was the software, which contained bugs, errors and defects, that had caused the problems, according to the high court judgment that quashed many of the convictions.

So far, the Post Office has offered compensation to 777 of the 2,500 subpostmasters who have applied. Those who had convictions overturned have been offered interim payments of £100,000 while their claims are assessed.

A spokesperson for BEIS said the subsidy figures were a “top estimate of what could be needed. It has not been spent and will only be given to the Post Office in arrears if and when required.”
Newsletter

Related Articles

0:00
0:00
Close
Poland Implements Border Checks Amid Growing Migration Tensions
Political Dispute Escalates Between Trump and Musk
Emirates Airline Expands Market Share with New $20 Million Campaign
Amazon Reaches Milestone with Deployment of One Millionth Robot
US Senate Votes to Remove AI Regulation Moratorium from Domestic Policy Bill
Yulia Putintseva Calls for Spectator Ejection at Wimbledon Over Safety Concerns
Jury Deliberations in Diddy Trial Yield Partial Verdict in Serious Criminal Charges
House Oversight Committee Subpoenas Former Jill Biden Aide Amid Investigation into Alleged Concealment of President Biden's Cognitive Health
King Charles Plans Significant Role for Prince Harry in Coronation
Two Chinese Nationals Arrested for Espionage Activities Against U.S. Navy
Amazon Reaches Major Automation Milestone with Over One Million Robots
Extreme Heat Wave Sweeps Across Europe, Hitting Record Temperatures
Meta Announces Formation of Ambitious AI Unit, Meta Superintelligence Labs
Robots Compete in Football Tournament in China Amid Injuries
Trump Administration Considers Withdrawal of Funding for Hospitals Providing Gender Treatment to Minors
Texas Enacts Law Allowing Gold and Silver Transactions
China Unveils Miniature Insect-Like Surveillance Drone
OpenAI Secures Multimillion-Dollar AI Contracts with Pentagon, India, and Grab
Marc Marquez Claims Victory at Dutch Grand Prix Amidst Family Misfortune
Germany Votes to Suspend Family Reunification for Asylum Seekers
Elon Musk Critiques Senate Budget Proposal Over Job Losses and Strategic Risks
Los Angeles Riots ended with Federal Investigations into Funding
Budapest Pride Parade Draws 200,000 Participants Amid Government Ban
Southern Europe Experiences Extreme Heat
Xiaomi's YU7 SUV Launch Garners Record Pre-Orders Amid Market Challenges
Jeff Bezos and Lauren Sanchez's Lavish Wedding in Venice
Russia Launches Largest Air Assault on Ukraine Since Invasion
Education Secretary Announces Overhaul of Complaints System Amid Rising Parental Grievances
Massive Anti-Government Protests Erupt in Belgrade
Trump Ends Trade Talks with Canada Over Digital Services Tax
UK Government Softens Welfare Reform Plans Amid Labour Party Rebellion
Labour Faces Rebellion Over Disability Benefit Reforms Ahead of Key Vote
Jeff Bezos and Lauren Sánchez Host Lavish Wedding in Venice Amid Protests
Trump Asserts Readiness for Further Strikes on Iran Amid Nuclear Tensions
North Korea to Open New Beach Resort to Boost Tourism Economy
UK Labour Party Faces Internal Tensions Over Welfare Reforms
Andrew Cuomo Hints at Potential November Comeback Amid Democratic Primary Results
Curtis Sliwa Champions His Vision for New York City Amid Rising Crime Concerns
Federal Reserve Proposes Changes to Capital Rule Affecting Major Banks
EU TO HUNGARY: LET THEM PRIDE OR PREP FOR SHADE. ORBÁN TO EU: STAY IN YOUR LANE AND FIX YOUR OWN MESS.
Trump Escalates Criticism of Media Over Iran Strike Coverage
Trump Announces Upcoming US-Iran Meeting Amid Controversial Airstrikes
Trump Moves to Reshape Middle East Following Israel-Iran Conflict
Big Four Accounting Firms Fined in Exam Cheating Scandal
NATO Members Agree to 5% Defense Spending Target by 2035
Australia's Star Casino Secures $195 Million Rescue Package Amid Challenges
UK to Enhance Nuclear Capabilities with Acquisition of F-35A Fighter Jets
Russian Shadow Payments via Cryptocurrency Reach $9 Billion
Explosions Rock Doha as Iranian Missiles Target Qatar
“You Have 12 Hours to Flee”: Israeli Threat Campaign Targets Surviving Iranian Officials
×