Prime Minister Responds to Sir Alan Bates’ Calls for Expedited Post Office Scandal Compensation

The prime minister’s spokesman announced that Sir Keir Starmer has replied to a letter from Sir Alan Bates, which urged for expedited compensation payments for postmasters affected by the Post Office scandal. Sir Alan had previously sent two letters to the Prime Minister within the last month, advocating for victims to receive full financial redress by March next year. Earlier, the former sub-postmaster informed Members of Parliament that he was still awaiting a response; however, the prime minister’s spokesman subsequently stated on Tuesday that a reply had been dispatched. The government announced last week that an amount of £1.8bn has been allocated for individuals affected by the Horizon IT scandal, supplementing several compensation schemes that had already been made public. From 1999 to 2015, hundreds of sub-postmasters faced wrongful prosecution due to the erroneous Horizon IT accounting system, which falsely suggested funds were missing from branch accounts. Sir Alan, who leads the Justice for Subpostmasters Alliance and was depicted in an ITV drama that brought renewed attention to the scandal earlier this year, provided evidence to a parliamentary committee on Tuesday. The hearing is focused on establishing swift and equitable redress for victims of the Post Office scandal, and a central argument from Sir Alan, which he has previously articulated, is the government’s need to establish deadlines for compensation payments. He informed MPs that he had communicated with the prime minister in writing twice during the past month to convey that “it needs to be finished by the end of March 2025”. A No10 spokesman confirmed that the Prime Minister had responded to Sir Alan earlier on Tuesday, further stating that the government is dedicated to providing prompt redress for victims, but is cautious about establishing an “arbitrary cut-off” date that could potentially exclude some claimants. The spokesman stated: “We want redress as quickly as possible. What we don’t want to do is set an absolute cut-off date which would result in some claimants missing the deadline. But each postmaster eligible should receive substantial redress by the end of March.” Campaigners have voiced criticism regarding the protracted period it is taking for those impacted to receive compensation. Many sub-postmasters were unjustly imprisoned for false accounting and theft, and numerous others faced financial ruin. Some individuals have died while awaiting justice. The Prime Minister’s spokesperson reported that as of 31 October, approximately £438m had been disbursed to more than 3,100 claimants across the four existing compensation schemes. Janet Skinner, currently in her 50s, continues to await her compensation, with her claim having been processed for over two years. Regarding the compensation process, she remarked: “This is supposed to help people. It’s more like a battle.” In 2007, she received a nine-month sentence related to an alleged shortfall of £59,000 at her Post Office branch located in Bransholme, Hull. She spent three months in prison before being released with an electronic tag, and her conviction was ultimately overturned by the Court of Appeal in April 2021. The strain from the scandal resulted in her developing neurological problems, causing paralysis in certain body parts which she is now re-learning to move. She stated that she has been requested for a medical report for the fifth time to substantiate that her disability resulted from the scandal. During the committee session, lawyers were questioned about their experiences with the Horizon Shortfall compensation scheme, which is managed by the Post Office. This particular compensation scheme is designated for sub-postmasters who were neither convicted nor involved in the Group Litigation Order (GLO) court action, but who contend they experienced financial shortfalls due to Horizon. David Enright, whose law firm represents hundreds of Post Office victims, stated that initial funding for legal advice is absent, and claimants are instead provided with a “DIY questionnaire”. He further explained that six to nine months later, a request for additional information is made, frequently involving 50-150 further questions that typically require the expertise of a forensic accountant to answer. He informed MPs: “The system is designed to wear people down.” Another lawyer mentioned that some of his sub-postmaster clients were being requested to furnish proof of losses for claims dating back 20 years, but are unable to do so as the Post Office had previously confiscated the evidence and not returned it. The GLO scheme is intended for the 555 former postmasters who prevailed in their group lawsuit but received comparatively modest payouts after legal costs were settled. This scheme is funded and administered by the government.