(1 year, 1 month ago)
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The Parliamentary Under-Secretary of State for Business and Trade (Kevin Hollinrake)
I am announcing that the Government intend to provide additional financial support to Post Office Ltd of up to £150 million, plus any contingency that may be required. This funding will enable the company to meet the costs of participating in the Post Office Horizon IT inquiry and of operating compensation schemes for postmasters.
The final level of funding required is currently being finalised. The Government will confirm to the House the outcome of considerations on financing needs at the earliest opportunity following finalisation.
The Government also intend to provide additional funding to help with the development of the replacement for the Horizon IT system and to ensure that the Horizon system is maintained before that replacement is rolled out.
This funding is subject to compliance with subsidy control requirements, including referral to the subsidy advice unit—part of the Competition and Markets Authority—for review under the Subsidy Control Act 2022, and no award of funding will be made until this is completed. The subsidy advice unit should publish a report within 30 working days, in addition to a preliminary assessment being carried out and a subsequent review period where the outcomes of the review are considered.
[HCWS1081]