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Government announces new Horizon compensation appeals scheme

Scheme is aimed at postmasters who feel their settlements do not reflect their losses

Postmaster eviction risk Royal Mail – Trillium leases generic

The government has announced the launch of a new, independent, appeals process for eligible postmasters in the Horizon Shortfall Scheme, which it says will “provide assurance that those who were unjustly impacted by the Horizon IT scandal will receive full, fair and swift redress”.

Post office minister Gareth Thomas announced the scheme before Parliament yesterday (8 April), and later said in a government press release: “It is our priority that all those who were unjustly affected by the Horizon IT scandal receive full, fair and swift redress and today’s measures are the next step in providing that.”

Post Office confirm 108 branches to be sold to franchises

The government said the new appeals process is aimed at “postmasters who feel their financial settlement under the Horizon Shortfall Scheme does not fully reflect the extent of their losses and trauma”, allowing them to challenge their settlement. Eligible postmasters, along with their legal representatives, will be notified later this month, with applications for the new process expected to begin by the end of April 2025.

The move comes after the government announced last month that it would take full responsibility for administering compensation claims related to overturned convictions, a move designed to remove the Post Office from the redress process entirely.

Post Office no longer to administer postmasters’ Horizon claims

“Since taking office, the total amount of redress paid to victims has increased by more than three and a half times with £892m having now been paid to over 6,200 claimants. There is still more to do, and I am committed to this task until every affected postmaster receives the redress they rightly deserve,” Thomas said.

The government press release also addressed this week’s announcement that the 108 remaining centrally-owned branches are to be sold to franchisees, which sparked a mixed reaction from retailers. It said: “We have listened to concerns and made it clear that directly managed branches should not be closed as we continue to work with the Post Office as it develops its transformation plan. There will also be a further £276.9m in funding for the Post Office to help support the breadth of the network.”

Read more Post Office Horizon IT scandal news

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