Delays in Post Office Scandal Payments Spark Criticism from Sir Alan Bates

The process of compensating victims of the Post Office Horizon IT scandal continues to face significant delays, drawing sharp criticism from campaigner Sir Alan Bates. In a message addressed to subpostmasters involved in the Group Litigation Order (GLO), Sir Alan accused government-employed "flim-flam artists" of dragging the process out and entangling the compensation scheme in bureaucracy. He has called for the government to set a firm deadline of March 2025 to finalize payments for the hundreds of victims who helped expose the scandal.

The Horizon IT scandal, spanning from 1999 to 2015, saw more than 900 subpostmasters wrongfully prosecuted due to errors in the Post Office’s faulty Horizon software, which incorrectly suggested there were financial shortfalls in branch accounts. Leading the Justice for Subpostmasters Alliance, Sir Alan has been at the forefront of seeking financial redress for the 555 victims who were part of the landmark legal action against the Post Office. However, substantial legal costs have significantly eroded the compensation funds for these individuals.

Although the government subsequently established a compensation fund to provide redress similar to other affected subpostmasters, the process has been slow. Recent government figures indicate that 201 out of the 492 eligible subpostmasters in the GLO scheme have received full payments. More than 250 offers have been extended through the scheme, with opportunities to challenge these offers or have them reviewed by an independent panel. However, 63 members of the GLO group, who had criminal convictions, are not eligible for this specific compensation scheme but may qualify for other forms of compensation, depending on how their convictions are overturned.

In a recent newsletter to the GLO group, Sir Alan expressed frustration with the Department for Business, accusing it of trying to minimize payments to victims while maximizing income for legal firms. He also questioned whether the government was deliberately dragging out the process to "exhaust victims until their deaths" and criticized the scheme as a potential "gravy train" for lawyers. He voiced concern over some older participants settling claims quickly "just to get it all over with" due to the protracted process.

With approximately £500 million reportedly spent on legal fees related to the scandal, Sir Alan has called for an urgent investigation by the Public Accounts Committee. He emphasized the need for a commitment to pay out all claims by March 2025, three years after the compensation scheme was first announced. Although a deadline for payments had previously been ruled out, Sir Alan insisted that it was now necessary to push forward the process.

The Department for Business and Trade has stated that it is "unacceptable" for subpostmasters to feel unheard or for their claims to be delayed. The department indicated that since July, it has taken "swift action" to speed up payments, including launching the new Horizon Convictions Redress Scheme and announcing a new appeals process under the Horizon Shortfall Scheme. The department also noted that 90% of initial offers are being made within 40 days of receiving completed claims, and it urged subpostmasters to come forward promptly to claim what they are owed.

The scandal has continued to resonate with the public, especially following the release of the ITV drama Mr Bates vs The Post Office earlier this year, which drew attention to the wrongful convictions of hundreds of subpostmasters. In May, a new law was introduced to overturn these wrongful convictions.

Recently, former subpostmistress Jo Hamilton criticized the government's handling of the compensation process during a speech at the National Television Awards, stating, "I went to Westminster a couple of weeks back and saw the new minister, and trust me, nothing has changed." In response, ministers reiterated that they were working "tirelessly" on compensation schemes for those affected, with the prime minister committing to compensating the victims “as quickly as we can.”

This article is based on a report by the BBC.