NEWS STORY : UK Compensation for Postmasters Surpasses £1 Billion Milestone
STORY
The UK Government today confirmed that it has paid more than £1.039 billion in financial redress to over 7,300 postmasters affected by the Horizon IT scandal, marking a major milestone in addressing what analysts deem “one of the gravest miscarriages of justice of our time.” The payout spans multiple redress schemes, including the Horizon Shortfall Scheme (HSS), the Group Litigation Order (GLO), and, since July 2024, the Horizon Convictions Redress Scheme, which has alone disbursed £245 million to those whose convictions were quashed by new legislation.
Post Office Minister Gareth Thomas emphasised the government’s urgency: “Since entering government, it has been our priority to speed up the delivery of compensation … but the job isn’t done until every postmaster has received fair and just redress.” Government statistics show that more than half of the total compensation, £559 million, has been paid out to 6,337 claimants under the HSS, while the GLO scheme has delivered £167 million to 316 successful claimants.
Despite reaching this landmark, campaigners and former postmasters warn significant challenges remain. Sir Alan Bates, a high-profile campaigner, has criticised the pace and fairness of the compensation process, noting that hundreds still await full redress, and legal costs reduce the net amounts received. Recent investigations have spotlighted bureaucratic roadblocks accused of obstructing timely payouts. Former business secretary Kemi Badenoch testified that procedural hurdles repeatedly delayed compensation, while critics argue departmental decision-making remains excessively rigid.
Further controversy surrounds the structure of compensation offers. A number of postmasters have received only a fraction, sometimes less than 1%, of their claims, with some victims calling the schemes “designed to fail.” Under the new Horizon Convictions Redress Scheme, wrongly convicted sub-postmasters are eligible for unlimited compensation, with a minimum of £600,000 for most, facilitated via a swift-track or extended assessment process. Initial interim payments of around £200,000 are already being released, with no set deadline for final settlement.
The government has reiterated its intention to continuously review and refine the redress process, seeking input from postmasters, campaigners, and parliamentary scrutiny to ensure that the payment systems are “as smooth as possible.” Opposition politicians and victims’ advocates urge the formation of an independent oversight body to oversee compensation schemes. They call for greater transparency and legal recourse to combat what they view as lingering inconsistencies and inequities.
