The Post Office spent £132 million defending itself in the inquiry
The Post Office has spent £132 million of taxpayers’ money defending itself in an investigation into the wrongful convictions of hundreds of sub-postmasters, according to the latest figures available.
The revelations in the company’s annual report come after a two-and-a-half-year evidence hearing for the investigation concluded this week.
The figure covers legal and operating costs from its inception until March 31, 2024, but does not include money spent after that date.
Post Office Chairman Nigel Railton said the Post Office was “learning from serious failures of the past”.
More than 900 sub-postmasters were prosecuted for lapses in their accounts due to a bug in Fujitsu’s Horizon IT system, in what has been described as one of the most widespread miscarriages of justice in British legal history.
Many lost their livelihoods or were forced to make up the shortfall with their own money, while some former sub-postmasters took their own lives.
The investigation came after years of struggle by sub-postmasters to expose injustice.
The Post Office’s figures for legal costs related to the investigation do not include money it has spent compensating sub-postmasters who were wrongly convicted.
It also said it had made provision for a total of £816m in “extraordinary expenses” for the year to March 31, 2024, including legal and operating costs as well as money spent on compensation and overturning convictions.
However, despite the expense, Some sub-postmasters say they have not received any compensation yetwhile others, like sir alan batesArgue that what they have been offered is not enough.
The results show how legal and operational costs increased as the investigation progressed.
The Post Office spent £82 million in the 12 months to March 31, £38 million in the previous 12 months and £12 million in the year before that.
The results also show the extent to which legal costs and redress are impacting its finances.
It revealed pre-tax losses had swelled to £612 million from £81 million the previous year – while its debt exceeded the value of everything it owned.
The figures were released after two-and-a-half-year evidence hearing sessions ended this week and final statements were presented.
Commenting on the milestone, Mr. Railton said, “There is still much to learn and culturally integrate into our organization as we move forward.”
Its chief executive also said on Thursday that the organization expects compensation payout figures to rise in the new year as it continues to “accelerate the pace of payouts”.
However, he also said that “no amount of financial assistance can compensate for the loss suffered by the victims.”
Nick Reid also will not receive a bonus, as he resigned in September after a months-long investigation into the organization, which led to his rights being waived.
