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Monday 23/02/2026

Government Faces Criticism Over Delayed Compensation for Post Office Scandal Victims

Protesters holding signs for IT scandal justice outside building
Ethan BrooksEthan Brooks

In This Article

HIGHLIGHTS

  • The UK government has been criticized for not actively pursuing compensation claims from victims of the Post Office scandal, fearing it might "harass" them.
  • The Public Accounts Committee (PAC) found that only 42% of eligible individuals have accepted compensation offers, with many still awaiting redress.
  • Over £1 billion has been paid out across four compensation schemes, but significant delays persist, with some victims receiving less than half of their claims.
  • The Horizon IT system error led to over 900 wrongful prosecutions, marking one of the UK's largest miscarriages of justice.
  • The Department for Business and Trade plans to consult on sending follow-up letters to encourage more claims, despite concerns about harassment.

The UK government is under scrutiny for its handling of compensation claims related to the Post Office scandal, where hundreds of sub-postmasters were wrongfully accused due to a faulty IT system. The Public Accounts Committee (PAC) has criticized the government for not taking sufficient action to ensure all eligible victims receive compensation, citing fears of "harassment" as a reason for not following up on unclaimed settlements.

Compensation Delays and Concerns

Despite the Department for Business and Trade (DBT) having paid out over £1 billion across four compensation schemes, many victims of the Horizon IT system error remain uncompensated. The PAC report highlights that only 42% of those eligible have accepted a fixed compensation offer of £600,000, while a third have yet to apply. The Horizon Shortfall Scheme (HSS) and the Horizon Convictions Redress Scheme (HCRS) are among the initiatives aimed at addressing the financial and personal losses suffered by the victims.

The Scale of the Miscarriage of Justice

Between 1999 and 2015, more than 900 sub-postmasters were wrongfully prosecuted due to errors in the Horizon IT system, leading to what has been described as one of the UK's largest miscarriages of justice. Many of those affected faced financial ruin, and some even served prison sentences. The government has been urged to expedite compensation processes, with Sir Geoffrey Clifton-Brown, chair of the PAC, expressing disappointment over the slow progress.

Government's Response and Future Actions

The DBT has acknowledged the complexity of the claims and the potential for significant variation in compensation amounts. While the department has sent initial letters to eligible individuals, it has refrained from sending follow-up communications to avoid perceived harassment. However, there are plans to consult the Horizon Compensation Advisory Board on the possibility of sending additional letters to encourage more claims.

WHAT THIS MIGHT MEAN

Moving forward, the government faces mounting pressure to ensure timely and fair compensation for all victims of the Post Office scandal. Legal experts suggest that failure to address these issues promptly could lead to further legal challenges and damage public trust in government institutions. The upcoming consultations with the Horizon Compensation Advisory Board may provide a pathway to resolving outstanding claims, but the government must balance sensitivity with the need for decisive action. As the situation develops, the focus will remain on achieving justice for those wronged by the Horizon IT system.