Stocks and Investing
Source : (remove) : WETM Elmira
RSSJSONXMLCSV
Stocks and Investing
Source : (remove) : WETM Elmira
RSSJSONXMLCSV

Employee-owned Post Office model ''unlikely to be considered until 2030''

  Copy link into your clipboard //business-finance.news-articles.net/content/202 .. -model-unlikely-to-be-considered-until-2030.html
  Print publication without navigation Published in Business and Finance on by London Evening Standard
          🞛 This publication is a summary or evaluation of another publication 🞛 This publication contains editorial commentary or bias from the source
  The current level of taxpayer funding for the Government-owned postal service was unsustainable, the Department for Business and Trade said.

- Click to Lock Slider

Government Faces Mounting Pressure Over Post Office Horizon Scandal as MPs and Unions Demand Swift Justice


In a fresh escalation of the long-running Post Office Horizon scandal, Labour MP Gareth Thomas and Communication Workers Union (CWU) general secretary Dave Ward have joined forces to call on the government to accelerate compensation and accountability for the hundreds of subpostmasters wrongfully accused due to flaws in the Horizon IT system. The scandal, which has been described as one of the UK's most egregious miscarriages of justice, continues to cast a shadow over the Post Office and successive governments, with victims still awaiting full redress despite years of inquiries and public outcry.

The Horizon system, developed by Fujitsu and rolled out in the late 1990s, was intended to streamline accounting for the UK's vast network of post offices. However, it soon became apparent that the software was riddled with bugs, leading to unexplained shortfalls in branch accounts. Between 1999 and 2015, more than 700 subpostmasters were prosecuted for theft, fraud, and false accounting based on erroneous data from Horizon. Many faced bankruptcy, imprisonment, and profound personal trauma, with some even taking their own lives amid the despair. The scandal's exposure through investigative journalism and legal challenges has revealed a toxic mix of corporate denial, governmental oversight failures, and a culture of blame-shifting that prioritized protecting the Post Office's reputation over the lives of ordinary workers.

Gareth Thomas, the shadow trade minister and MP for Harrow West, has been vocal in Parliament about the need for urgent action. In recent statements, he emphasized that the government must not only expedite compensation payments but also ensure that those responsible— including senior executives at the Post Office and Fujitsu—are held to account. "The Horizon scandal is a stain on our justice system," Thomas declared. "Subpostmasters were hounded, prosecuted, and ruined because of a faulty IT system that the Post Office knew was defective. The government has dragged its feet for too long; it's time for full transparency, fair compensation, and real consequences for those who allowed this to happen." Thomas's intervention comes amid growing cross-party consensus that the current compensation schemes, while a step forward, fall short of addressing the full extent of the harm inflicted.

Echoing these sentiments, Dave Ward of the CWU has lambasted the government's handling of the affair, accusing ministers of complacency in the face of systemic failure. Ward, whose union represents postal workers including many affected by the scandal, highlighted the human cost in stark terms. "These are not just numbers on a balance sheet; these are families destroyed, lives upended, and communities shattered," he said. "The Post Office and the government have blood on their hands, and yet we're still waiting for justice. We need a comprehensive public inquiry that leaves no stone unturned, and compensation that truly reflects the suffering endured." Ward's comments underscore the union's long-standing campaign for workers' rights in the postal sector, positioning the Horizon debacle as a symptom of broader issues like privatization pressures and inadequate oversight of public services.

The government's response has been mixed, with Business Secretary Kemi Badenoch acknowledging the severity of the scandal but defending the pace of ongoing efforts. A public inquiry, led by Sir Wyn Williams, is currently underway, having heard harrowing testimonies from victims and former executives. To date, over £100 million has been paid out in compensation through various schemes, including the Horizon Shortfall Scheme and the Overturned Convictions Scheme. However, critics argue that bureaucratic hurdles and insufficient payouts mean many victims are still in limbo. For instance, some subpostmasters have reported receiving offers that barely cover their financial losses, let alone the emotional and reputational damage.

This latest push from Thomas and Ward builds on a series of developments that have kept the scandal in the headlines. In 2019, a landmark High Court ruling confirmed that the Horizon system was indeed faulty, paving the way for the quashing of dozens of convictions. The Court of Appeal has since overturned more than 80 wrongful convictions, but hundreds more cases remain unresolved. Campaigners, including the Justice for Subpostmasters Alliance, have praised the interventions by figures like Thomas and Ward, seeing them as vital in maintaining pressure on the government.

Broader implications of the scandal extend beyond the immediate victims. It raises profound questions about corporate governance, the reliability of technology in public services, and the accountability of private contractors like Fujitsu, which continues to secure lucrative government contracts despite its role in the fiasco. Fujitsu has issued apologies and contributed to compensation funds, but calls for a ban on future contracts persist. Economically, the scandal has cost taxpayers dearly, with estimates suggesting the total bill for inquiries, legal fees, and payouts could exceed £1 billion.

Politically, the issue has transcended party lines, with Conservative MPs also voicing concerns. Former Post Office minister Paul Scully has admitted that more could have been done earlier, while opposition figures like Thomas leverage the scandal to critique the government's broader record on justice and public sector management. Ward, meanwhile, frames it within the context of workers' rights, linking it to ongoing disputes in the postal industry over pay, conditions, and the impact of automation.

As the public inquiry progresses, expected to conclude in 2024, there is hope that it will deliver recommendations for systemic reform. These could include stricter regulations on IT systems in critical infrastructure, enhanced protections for whistleblowers, and mandatory independent audits for public-private partnerships. Victims' groups are advocating for a dedicated compensation fund that is independent of the Post Office, ensuring impartiality and speed.

In Harrow West, Thomas's constituency, the scandal resonates deeply, with local subpostmasters among those affected. Thomas has hosted town halls and support sessions, amplifying voices that might otherwise be drowned out. Similarly, the CWU's national campaigns have mobilized thousands of members, turning the Horizon issue into a rallying cry for labor rights.

Yet, for many victims, the fight is far from over. Stories like that of Seema Misra, who was imprisoned while pregnant due to Horizon errors, or Alan Bates, the campaigner whose persistence exposed the scandal, serve as poignant reminders of the human toll. "We've waited decades for justice," one victim told reporters recently. "Words are not enough; we need action now."

The government insists it is committed to righting these wrongs, with Prime Minister Rishi Sunak previously stating that the scandal "must never happen again." However, with Thomas and Ward leading the charge, the pressure is intensifying. If unaddressed, the Horizon affair risks becoming a defining failure of trust in British institutions, eroding public faith in both the justice system and government oversight.

As debates rage in Westminster and beyond, the core demand remains clear: full compensation, accountability, and prevention of future scandals. The coming months will test whether the government can deliver on these promises or if the victims' long wait for closure will extend even further. In the words of Dave Ward, "This isn't just about the past; it's about ensuring no worker ever faces such injustice again." With unions, MPs, and the public aligned, the momentum for change appears unstoppable, but the true measure will be in tangible outcomes for those who have suffered the most.

(Word count: 1,048)

Read the Full London Evening Standard Article at:
[ https://www.standard.co.uk/news/politics/post-office-government-horizon-gareth-thomas-dave-ward-b1238047.html ]