Future of the Post Office

Lord Beamish Excerpts

Monday 18th November 2024 Lords Chamber

[Baroness Jones of Whitchurch (Lab)]

First, I pay tribute to the noble Lord for all the work he has done on this over the years. Nobody knows the challenges better than he does, and I absolutely agree: there is potentially a rosy future for post offices in exactly the way he described—as a network of basic service provision hubs, in addition to the banking hubs that we also see expanding. We need to ensure that we get the finances of this right, but we can all see the potential of the Post Office network to provide far more than it already does. It can provide a community hub, in the way that we were just talking about, but also a public service hub. Particularly as we move towards a lot of services being digital and online, post offices will have a role to provide for people who are digitally excluded in some way, so that they have that point of contact and a person can help them access those services, face to face. They have an essential role in the future, in the way that the noble Lord talked of.

[Lord Beamish (Lab)]

My Lords, I declare my interest as a member of the Post Office Horizon Compensation Advisory Board. Along with my good friend the noble Lord, Lord Arbuthnot, I have been campaigning on this for over 15 years, and the toxic culture of the Post Office is very clear to me. It goes very deep. From the Post Office inquiry, it is clear that individual investigators pursued individual sub-postmasters in a vicious way.

What has been done to ensure that those individuals no longer work for the Post Office? Separately, what role have the Government taken regarding Fujitsu? Have they approached Fujitsu to ensure that it pays proper compensation for its role in this national scandal?

[Baroness Jones of Whitchurch (Lab)]

I pay tribute to my noble friend for his considerable work campaigning on this issue. We all owe him a debt of gratitude for that. He is right that there is a toxic culture from the top down. I, and my department, believe that the new leadership at the Post Office will address that issue from the top down. That is partly to do with some of the individuals who are still there, and we are waiting for the result of the inquiry before we can potentially take any action against them. There are issues too about the senior pay of too many people at the Post Office. Quite frankly, we need to rationalise it and make it fit for the 21st century from the top down. That is the way we are approaching this issue.

With regard to Fujitsu, again, my noble friend will know that we are trying to find a way to embed a new system that will replace Horizon. Work is ongoing to make sure that this is happening; it is not happening as quickly as we would like. Fujitsu is, in a sense, still providing some of the services because we do not have an alternative to provide them at the moment. The sooner we can get a modern IT system that is fit for purpose into the Post Office the better. We are working towards being able to do that.

Post Office (Horizon System) Offences Bill

Lord Beamish Excerpts

Consideration of Lords amendments
Thursday 23rd May 2024 Commons Chamber

[Mr Deputy Speaker (Mr Nigel Evans)]

I call our right hon. Friend, Kevan Jones.

[Mr Kevan Jones (North Durham) (Lab)]

Thank you for your kind words, Mr Deputy Speaker. I think this will be the last time that I speak in this Chamber, and I cannot think of a more fitting debate in which to do so, because it is the culmination of many years of fighting. I played a small part in getting justice for the sub-postmasters; much of it was down to Alan Bates and the families who went through this complete nightmare. Hopefully, they will get justice and truth when the inquiry reports next year.

This Bill was always going to be important because of the individuals involved. Unless you actually sat with many of these victims, they would not have come forward to clear the stain on their reputations or to gain access to compensation. It has been a long fight, and my partner in crime was Lord Arbuthnot. Someone asked me how we had got together on this. If people look back, they will see that we both served on the Defence Committee—he was the Chair at the time. He has been a very effective advocate and I pay huge tribute to him.

There have been many Members from all parts of the House—some are no longer here—who made a contribution over the years, and I think that their support needs to be recognised as well. Turning to the Ministers involved, I would like to mention the hon. Member for Sutton and Cheam (Paul Scully), who showed such tenacity in his determination to get justice. He was followed very ably by the hon. Member for Thirsk and Malton (Kevin Hollinrake). I have called him a poacher turned gamekeeper, but he is a very effective one. He has driven this case forward, not in a belligerent way, but with patience and determination to ensure that people who have been wronged get justice. That is something that we should all think about.

People can turn round and say, “No, you are wrong, the system cannot be questioned.” And there are times when you can feel like you are ploughing a lonely furrow. But if you know in your gut that something is wrong, it is important to just keep going. This was one of those cases. But it has certainly been championed by the Minister, who has been an excellent advocate on behalf of all these people. It has not been easy. I accept that some of the decisions that he had to make were not easy and were not always welcomed by everyone, but he tried his best and we have this Bill today because of him.

I have one final thing to say, and this is unfinished business. The Minister knows what I am going to say now and it is about Capture, the pre-Horizon scheme, which I have been investigating. Hopefully, we will get justice for those individuals as well, and, again, the Minister is determined to get to the bottom of that by appointing an independent investigator to look at the cases that have been referred to him. I shall be looking from afar with interest, but I know that whoever picks up his brief or takes on this case will not be able to put it down unless they get that justice.

In politics, people often ask whether you can actually achieve anything. There is a lot of cynicism these days. I say to anybody who is aspiring to be a Member of this place that they can change things, they can make a difference, but they have to be persistent. Most of the time, people across the other side of this House may be political opponents, but they are not our enemies. We do the best in this place when we work together, and, in this case, cross-party working has achieved final justice for these people.

[Kevin Hollinrake]

With the leave of the House, I have a few final comments. The shadow Minister asked about the Capture software that was used prior to the Horizon software. The right hon. Member for North Durham (Mr Jones) has pushed strongly on these matters, and we are having an independent investigation into them, which we anticipate will report later this year. I am sure that he will take a keen interest in that, as will those on the Opposition Front-Bench team. It is important that we get redress as soon as possible. The Bill opens the door to rapid redress for hundreds of victims of this scandal. We believe that we can get redress paid from July onwards, when the new scheme will be put in place. On the Court of Appeal, we are very interested to ensure that those people also get a fair hearing, and a rapid rehearing of their cases, and can be exonerated wherever possible.

Post Office (Horizon System) Offences Bill (Instructions)

Lord Beamish Excerpts

Monday 29th April 2024 Commons Chamber

[Michael Shanks]

The suggestion of dubious lectures coming from the Scottish National party is slightly misguided. I accept the point that the legislation goes above normal legal precedent, but there is no reason why the Scottish Parliament could not invoke its emergency Bill procedures as it has done in the past, recognising that this is an extraordinary situation.

[Mr Kevan Jones (North Durham) (Lab)]

The hon. Member for Motherwell and Wishaw (Marion Fellows) clearly does not understand how prosecutions are done in the UK—sorry, in England. [Interruption.] Well, not in England. In England, the Post Office took the prosecutions—they never went through the CPS. In Scotland, they did actually go through the Crown Office and the Advocate General. That is the difference. In terms of where decisions were taken and the people who reviewed cases before they went to court, the cases are not similar.

[Michael Shanks]

That is absolutely right. The key point is that there is no question about the Post Office being held to account for the institutional levels of cover-up—

Post Office (Horizon System) Offences Bill

Lord Beamish Excerpts

Committee of the whole House
Monday 29th April 2024 Commons Chamber

[Kevin Hollinrake]

I understand and accept that point, but a decision has to be taken on whether to include these cases. There is definitely a difference of legal opinion on that point, because I have had different representations made to me.

We recognise that this approach may leave a small number of individuals concerned about the way forward for their cases. In cases where the Court of Appeal has upheld a conviction, the usual routes of appeal remain available to them. Those affected can apply to the Criminal Cases Review Commission, which can review their cases.

[Mr Kevan Jones (North Durham) (Lab)]

The Minister knows that we on the advisory board have discussed this issue at length. Given what has come out of the inquiry over the last few weeks, does he agree that there is evidence that may have a bearing on some of these cases? I accept why he does not want to include them in this Bill, but we need to look at some of these cases to see whether there are grounds for appeal.

[Kevin Hollinrake]

Of course, and I am listening intently to the evidence before the inquiry. It is true to say there are some shocking revelations. As the right hon. Gentleman illustrated in his work with the advisory board, there was a maliciousness about some of the prosecutions, which is of great concern, as is the flawed Horizon system. Part of the reason why we are legislating as we are reflects that, but we will continue to look at the evidence that emerges.

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Condition E in clause 2(6) provides that the Horizon system must have been in use at the post office concerned. Clause 8 defines the Horizon system as any version other than the current one, HNG-A. It follows that, as a pilot of an earlier version of Horizon, Pathway is covered, hence we are clear that the Bill already caters for Pathway and changes to the drafting are not necessary. I hope the right hon. Gentleman is therefore content not to press amendment 70.

[Mr Kevan Jones]

Clause 2(2) mentions 23 September 1996. Is the Minister saying that any ICL Pathway system installed in post offices, even prior to that date, will be captured by the Bill?

[Kevin Hollinrake]

Certainly, if we regard it as a pilot system of Horizon, that would be the case, as drafted.

[Mr Kevan Jones]

So is the date irrelevant? I have spoken to one person whose prosecution might have been 1996, but there is evidence that the Pathway system was in place before that date in 1996.

[Kevin Hollinrake]

That is not what we understand from the Post Office, but I am happy to continue our discussions, as I always do, to make sure that every relevant person affected by Horizon or its pilot systems is covered.

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[Mr Kevan Jones]

Does the hon. and learned Gentleman agree that much has come out since those cases were looked at? The public inquiry evidence about the way the Post Office investigated those cases showed that a text-book aggressive style was used in every case. That had an impact on some sub-postmasters pleading guilty when they were not, and in the way in which some of them were harangued to the court.

[Sir Robert Neill]

The right hon. Gentleman makes a perfectly fair point. That is why I hope we can find a formula to revisit this issue as the Bill makes progress. Given the expansive policy decision the House has taken, I do not think any great extra constitutional outrage is caused by including those who have been to the Court of Appeal within scope. It is rather as Keynes said:

“When the facts change, I change my mind. What do you do, sir?”

As the right hon. Gentleman points out, the facts may well have changed.

There may be an alternative formulation to that set out in amendment 1. It might be that a provision could be added to the Bill—I am thinking almost de bene esse at the moment—when it goes to the other House to automatically mandate the Criminal Cases Review Commission to refer those cases. At the moment, someone is required to go to the CCRC to seek the reopening of their case and apply to the Court of Appeal for leave to appeal out of time, if the case has been dismissed, and for it then to be reconsidered. As the Lady Chief Justice said in evidence to the Justice Committee, I have no doubt that the Court of Appeal would move very swiftly if that were to occur—she was very clear on that point—but there has to be a trigger mechanism, which is absent at the moment.

To come back to the point made by the right hon. Member for Birmingham, Hodge Hill, the current working processes of the CCRC could not guarantee speed. Some provision to mandate the CCRC to refer such cases swiftly might be a means of achieving justice, without upsetting any more constitutional apple carts. Perhaps that is the sort of discussion we could usefully have as the Bill goes forward.

A point linked to that is the position of someone who has appealed. I notice that clause 3 sets out the various circumstances in determining when a conviction has been considered by the Court of Appeal. Clause 3(4)(a) says one such circumstances is where

“a single judge of the Court of Appeal has refused to give leave to appeal against the conviction,”

and leave to appeal has not been given by the Court of Appeal thereafter. People can appeal the single judge’s leave to the full court, but that does not always happen. The point to make there is that, although in some cases we do not know, a suspicion was strongly raised by witnesses to the Justice Committee that the single judge may have refused leave simply on the grounds that an appeal was out of time, because there are strict time limits on bringing an appeal. If that has been the case, because it never got to the full court, the single judge and the full court would never have considered the merits; leave would have been refused purely on the basis that technically the case was out of time and there was no evidence put forward to justify at that stage why there should be a granting of leave to go beyond time. Again, that might have been because the full facts of the scandal were not yet know. I would hope that that sort of anomaly could be addressed without too much difficulty.

Dame Eleanor, I hope constructive things can still be done on the margins to improve the Bill in relation to those matters and, as the right hon. Member for Birmingham, Hodge Hill rightly said, to get the shape of the Bill into proper form. I will not press my amendment, because we want to take things forward constructively, but I hope that the Minister, in the exceptionally helpful spirit that he has adopted throughout, will continue to engage with those of us who, whatever our misgivings, realise that this is a route that the House has chosen to take. We want to get it working to the best possible extent for those who have been affected by this horrendous scandal. That will lead to ramifications in the prosecutorial process, the disclosure process and many other things beyond.

[Mr Kevan Jones]

First, may I declare my interest as a member of the Horizon compensation advisory board and take some responsibility for why we are here today? It was the advisory board that recommended this course of action, but this suggestion was down to the tenacity of the Minister and of the Law Officers, who he worked with closely.

When the idea was first muted at the advisory board, we thought that, possibly, this would not be acceptable to the Government, but the persuasive powers of the Minister, who I have come to admire, clearly worked their magic within Government. None the less, this was the only path to take; many individuals would not have come forward without this approach, which the hon. and learned Member for Bromley and Chislehurst (Sir Robert Neill) has described as unique.

May I also put it on the record that I am pleased that the Northern Ireland cases have been included in the scope of the legislation? Although there is only a small number, it would have been wrong to have held them up, through no fault of their own, because of the way that the consultation had taken place. Again, I congratulate all parties in Northern Ireland on how they have come together to take this united position for the victims.

Let me refer to amendment 70, and the ICL Pathway. Although the Minister has given some assurances on this, let me explain why I tabled the amendment. ICL Pathway was introduced in 1996, and the purpose of my amendment is to get some clarification on it. It was a stand-alone pilot, but the legislation refers to the “Horizon pilot”. I am quite convinced by the Minister’s assurance that this will be in the scope of this legislation. That is important, because there are a number of individuals, certainly in the north-east of England, who used the ICL Pathway—it was not called the Horizon pilot at that stage—who were subsequently prosecuted and will now be brought into the remit of the Bill. That is important, because it will mean that at least one individual I have met, who originally thought they would not be included in this legislation, will be.

Let me turn now to new clause 6 on the Capture cases. The Minister will not be surprised that I have tabled this clause, because—given the anorak that I am in terms of the Horizon scandal—I think we have potentially discovered another scandal that predates Horizon. For the benefit of the Committee, I would like to provide a little bit of background. As the Minister said earlier, Capture was very different from Horizon; it was developed by the Post Office itself from 1992 onwards, and it was not a linked or networked system like Horizon. It was sold as a quick way of

“producing cash accounts quickly and accurately.”

It was a computer-based system, but was not networked, and it is quite clear that there were huge troubles, with it generating shortfalls. With each upgrade of the software, new bugs seemed to have grown on the system. According to the analysis that has been done on the upgrades, the Post Office identified at least 123 bugs in the Capture software.

Once we had the publicity around the Horizon scandal, a lot of people came forward and talked about experiencing shortfalls, including someone I went to visit in the north-east who described exactly their experience with the Post Office. I initially thought, “Well, this is a Horizon case.” It involved a computer, and the aggressive way in the way the Post Office prosecuted that individual. But it was only when I looked at the dates that I realised that they did not match up; it could not be Horizon or ICL Pathway, because it was before then. Since then, 35 individuals—36 from today, I think, because the right hon. Member for Chelmsford (Vicky Ford) has raised another case—have come forward. We are talking about a long time ago, so a lot of these individuals will have sadly passed away, but more people are coming forward. I heard of someone this week who is now on the other side of the world; they had moved away from this country because they had been made bankrupt by the Post Office.

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[Mr Kevan Jones]

This is a historic, unique and very controversial Bill. It is another small step in the justice for sub-postmasters campaign, which has been going on for decades. I pay tribute to Alan Bates and all his campaigners. They said no to the people who were telling them to go away. They kept at it, and they are the heroes in all this.

I pay tribute to the fellow members of the advisory board, Professor Chris Hodges, Richard Moorhead and James Arbuthnot. We proposed this solution for overturning convictions, but did we expect it to be accepted? No, we did not. That is down to the Minister’s work. I also want to put on record my thanks to the Attorney General and Justice Secretary, both of whom not only engaged with the arguments but saw the logic of this controversial way of doing it—the only way of doing it. Without their help, it could not have been done.

Let me put on record my thanks to the Minister’s long-suffering officials. They have to put up with not just him but me and the other advisory board members. They worked tremendously hard on this, as did the officials in the Ministry of Justice. We are into civil service bashing again this week, but I must say that without them, we could not have achieved what we have in this Bill. I heard what the Minister said on the issues around Capture. Hopefully, given the constructive way in which he has approached the issue, we can get justice for those affected.

Finally, our thoughts should be with all those people who are no longer with us, such as Tom Brown, my constituent who originally got me involved in this scandal. June Tooby’s forensic cataloguing of the Capture case will hopefully lead to some justice for those victims, too. This is an important step forward. Let us hope that it gives families some comfort to know that their loved ones will be exonerated as part of this process.

Post Office (Horizon System) Offences Bill

Lord Beamish Excerpts

2nd reading
Wednesday 20th March 2024 Commons Chamber

[Kemi Badenoch]

I thank my hon. Friend for all the work she does in chairing the all-party parliamentary group for whistleblowing. She is right that this issue needs consideration, and we are going to look again at the whistleblowing framework—it is something that comes up time and time again in many respects. I will not comment yet on her private Member’s Bill, because I have not seen it, but I thank her for all her work on this issue.

[Mr Kevan Jones (North Durham) (Lab)]

I welcome this Bill. I know that it is groundbreaking and possibly sets some nerves off with the judiciary, but I think the judiciary need to look at themselves and how they have dealt with some of these cases.

On the point that my right hon. Friend the Member for Birmingham, Hodge Hill (Liam Byrne) raised, a small number of cases are not within the scope of the Bill. I perfectly understand why, but we have to get those cases looked at again, because evidence has come out in the Sir Wyn Williams inquiry that was not available at the time. Will the Secretary of State commit to at least sit down with the judiciary to look at these cases and emphasise the fact that there is new information, and that responsibility for some of this injustice has got to lie with the justice system?

[Kemi Badenoch]

I thank the right hon. Gentleman for his intervention. The courts dealt very swiftly with the cases before them—perhaps a bit too swiftly. That is why the sub-postmasters suffered so many miscarriages of justice, and it is right that we make their exoneration as simple and quick as possible, so while my priority is passing this Bill for the bulk of the people who have suffered, that does not mean we will not be able to look at other scenarios later and see if we can find solutions where we genuinely believe that there has been a miscarriage of justice. That is not for me to do at the Dispatch Box—it will not be up to Ministers. There will be caseworkers who will carry out that work, but we have to be careful to make sure that we are exonerating the right cohort.

[Mr Jones]

I hear what the Secretary of State says, but I would just say to her that this is a small number of people and they have to be looked at. Can I ask that she shows the same zeal that her hon. Friend the Member for Thirsk and Malton (Kevin Hollinrake) has shown in his approach to this process? We need a commitment, not to get these cases sorted today—I accept that the Secretary of State cannot do that—but that the Department will look at them. I think that will send quite a strong message out to people.

[Kemi Badenoch]

The Department can always do that. This is something that we believe is so critical in order to make sure everybody gets the justice they deserve, and we need to make sure that we carry out the process in such a way that everyone has confidence in it. We can continue to look at cases and see if there are other solutions, but as the right hon. Gentleman has rightly said, that will be outside the scope of this Bill.

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[Kemi Badenoch]

I thank the right hon. Gentleman. I know that is a recommendation from his report, and it is something we are actively looking at and considering. As the Bill progresses through the House, there will be many suggestions that we will be able to look at to see whether it can be improved in any way. However, we must make sure that we do so in a way that does not jeopardise any of the objectives of the Bill—any of them at all.

As I was saying, further details will be set out in due course, and there will be a process for anyone to come forward where their convictions meet the criteria but we have been unable to identify them. The new primary legislation will be followed by a route to rapid financial redress on a basis similar to the overturned convictions scheme, which is currently administered by the Post Office, so we do not need provisions in the Bill to deliver that scheme. My Department, not the Post Office, will be responsible for the delivery of redress related to the quashing of these convictions. The Minister for postal affairs will return to the House at a later date to provide details on how we intend to deliver that redress.

[Mr Kevan Jones]

I welcome the changes that have been made in the compensation. Some of the proposals—for example, for fixed sums—are going to make a lot of cases easier to sort out. I do not feel comfortable having the Post Office anywhere near this, frankly, and neither do the sub-postmasters. Will the Secretary of State think about a system of compensation that in practice cuts out the Post Office? There is no trust there among the sub-postmasters. Do I personally have any faith in the Post Office? No, I do not.

[Kemi Badenoch]

I thank the right hon. Gentleman. That is one reason why my Department will be looking after the redress delivered by the scheme.

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[Jonathan Reynolds (Stalybridge and Hyde) (Lab/Co-op)]

I am pleased to be at the Dispatch Box to welcome the Bill; in doing so, I candidly recognise the difficult legal and constitutional position it represents. I will outline why I believe it is required, and the exceptional nature and caveats that we should all realise on Second Reading.

The Horizon scandal is, quite simply, one of the most egregious miscarriages of justice in British history. It robbed people of their lives, their liberty and their livelihoods. As we now know, driven by a misguided belief that technology was infallible and workers dishonest, the Post Office prosecuted innocent people. Indeed, they were the very people in whom the Post Office should have had the most faith—those who delivered vital services in all our communities.

Those prosecutions caused unimaginable pain and suffering, which no amount of compensation can ever alleviate. To add insult to injury, the journey to justice for the sub-postmasters has been mired in a great many delays and barriers. Some of the people affected have, tragically, passed away before having had the chance to see justice.

The Bill will free hundreds of innocent people of their wrongful convictions, and it affords us the chance to make a huge stride in righting the wrongs of the past. That is why Labour will give it our support. However, this must be just one of several steps still to come if amends are ever to be made for this most insidious of injustices. The convictions must be overturned, compensation must be delivered at pace, and justice must be sought from the independent inquiry.

We must recognise today for what it is: a victory for the sub-postmasters. To have the strength of character to lose everything, and then to get back up and fight is truly humbling, and the recognition and admiration that those people have earned is absolutely right. Nevertheless, Members across the House will be acutely aware of the unprecedented nature of this legislative action. We all recognise that we should not have needed to get to this point, and it is important to explain why we are taking this step, why we believe this is an exceptional case, and why therefore this should never be repeated in future. I hope in this speech to do that.

I wish to recognise the work of the many people who have got us to this landmark occasion. First, no Member could deny that we would not be where we are today, pursuing this particular route, were it not for the recent ITV drama “Mr Bates vs the Post Office.” Although the Horizon Post Office failure is a scandal to which the House has been responding for some time, the drama brought the story to a wider audience and reinvigorated the campaign. It is a powerful reminder of the way that art and culture can be used to tackle injustice and raise public awareness. I thank everyone who was involved in that project, including my constituent Julie Hesmondhalgh.

Secondly, I pay tribute to my right hon. Friend the Member for North Durham (Mr Jones) and Lord Arbuthnot in the other place, and all those colleagues who championed constituency cases from the beginning. Their tireless campaigning has been instrumental in getting us here to today.

Thirdly, I want to recognise the attention that the Under-Secretary of State for Business and Trade, the hon. Member for Thirsk and Malton (Kevin Hollinrake), has given this matter and the progress he has achieved so far. I thank him for working cross-party on the design of this legislation, and for keeping me and my hon. Friend the Member for Birmingham, Ladywood (Shabana Mahmood) regularly updated. I also note that the hon. Member for Sutton and Cheam (Paul Scully), who is in his place, was the first to get to grips with this scandal in the way that was required. He will be leaving this place in the coming months, and I hope that will do so with a sense of pride in the work he did, and I thank him very much for it.

However, today must be a moment when, above all else, credit and recognition go to the sub-postmasters and their courageous search for justice. They have been unrelenting and undeterred, and we owe them a great deal. To be jailed or bankrupted because of faulty IT, and to have no one believe that their character mattered more than numbers on a spreadsheet, is why the scandal struck such a nerve with the public. Without the bravery of the sub-postmasters, we might never have known that this injustice took place—it is worth taking a moment to reflect on that.

The Bill will overturn 690 cases that were prosecuted by the Post Office and Crown Prosecution Service. We know it is a vital step in the course for justice for sub-postmasters, but we also recognise that doing so undermines a fundamental principle of our democracy: the separation of the judiciary and the legislature. Overruling the courts in this way could set an incredibly dangerous precedent, and one that I hope we will never use again. In an era of ever-creeping populism, there is a real threat that the well-intentioned actions we take today could be abused in future for completely unwarranted purposes.

[Mr Kevan Jones]

I concur with my hon. Friend’s statement about the separation of powers. Does he agree that it is time for the courts and judicial system to reflect on their role in the scandal, and on why they did not raise red flags when they should have done? The hon. and learned Member for Bromley and Chislehurst (Sir Robert Neill) said that we should not criticise individual judges, but some of them acted in a way that, frankly—I say this knowing some of the cases as I do—did not reflect the best of our judiciary.

[Jonathan Reynolds]

My right hon. Friend makes a powerful contribution. Many things go beyond the Bill and the independent inquiry that we are currently looking at, regarding the role and experience of our constituents in the legal system, how Government and Executive agencies function, and the evidence given to Ministers and the accountability we seek from that. A great deal has to change as a result of this. I understand his point.

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[Jonathan Reynolds]

I thank my right hon. Friend for those remarks and for all the work the Select Committee has done to assist this process. He is right to say that while it is one thing to pass the Bill, what everyone wants is for it to be a route to speedy compensation as soon as possible. I welcome some of the changes we have seen, such as the optional £600,000 up-front payment available to people to get through some of the complexity of the cases. When the Select Committee published its report, it looked at the recommendation to include in the Bill deadlines for the Government to pay compensation, but we have since received useful information about how binding limits might restrict the most complex cases in an undesirable way. In his closing remarks, will the postal affairs Minister undertake on behalf of the Government to reflect on that point, because everyone will want to be able to say, “We care, and we have pushed forward the need for compensation payments to flow smoothly.”

[Mr Kevan Jones]

I have to say to my good friend the shadow Minister that this is where I depart from the Select Committee. The advisory board has been very clear that we need to make the system simple. To be fair to the Government, they have listened on the lump-sum payments. What we need is to get those simple cases out of the system—I am not sure they are “simple”—and concentrate on the complex cases. Knowing the nature of some of those cases, they will be complex. It is not just the Government or the advisory board saying that. Talk to the lawyers who are putting cases in. There is a lot of work to be done on those cases; they are not straightforward and they will take time. Putting an arbitrary deadline on them might lead to their not being properly addressed, and some cases will be about more than £600,000. Although it is a good idea to try to speed up the system, some of the steps already taken by the Government will do so.

[Jonathan Reynolds]

I thank my right hon. Friend for that. The work of the advisory board on all this has been invaluable and is very much appreciated. We can all accept that a number of cases may seek compensation payments well in excess of £600,000 because of the scale of the loss and the complexity. No one would want or seek to do anything to prevent those cases from concluding in the way that is necessary. I simply ask the Minister to reflect on how the Government can give assurances on the best way to do that.

I come back to the issue raised by colleagues from Northern Ireland about the territorial extent of the Bill’s provisions and the desire to overturn the convictions of the small but significant number of affected sub-postmasters in Northern Ireland, who would otherwise fall beyond the scope of the legislation. I can tell colleagues that the Labour party supports the calls made. I understand that this would be a complex constitutional undertaking, but given that every party in Northern Ireland and, I believe, every Minister in the new Assembly are calling for inclusion in the Bill, we must recognise that.

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[Mr Kevan Jones (North Durham) (Lab)]

Can I begin by declaring an interest as a member of the Horizon compensation advisory board? It is a pleasure to follow the hon. Member for Sutton and Cheam (Paul Scully). When he was a Minister he grasped this issue and drove it forward, and I am sad to see that he is standing down at the next election. One thing he can claim great credit for is being the only Minister I have dealt with, apart from his successor, who had compassion and wanted to sort this out. Okay, we had some quite heated disagreements on occasions, but at least he was prepared to listen. He brought a unique set of skills, and when he leaves the House he can have this great achievement for the individuals affected as a great credit to his parliamentary record.

I welcome the Bill. It was a solution put forward by the Horizon compensation advisory board, and I want to pay tribute to Professor Chris Hodges, Lord Arbuthnot and Professor Richard Moorhead, who sit on the advisory board with us. When we came up with this plan, did we think that the Government would agree to it? No, we did not. Were we shocked when they did? We were. I will not say what Chris Hodges said privately at one meeting because it would be unparliamentary.

This was a difficult thing to do and it comes after years of heartache and a lot of campaigning by the sub-postmasters. Alan Bates has already been mentioned and I pay tribute to him and the 555. As the hon. Member for Sutton and Cheam said, if they had not taken that court case, the dam would not have broken—this is down to those individuals who had the tenacity to do that. Over the years, has it been easy for those individuals? No, it has not. As someone who has been involved for many years, I can tell the House that we did sometimes doubt ourselves and ask whether we were missing something. We were not missing something; it was a complete injustice. But when the system and the state are against a person, it takes great courage and tenacity to continue. I know that some had self-doubt along the way, but all credit to them—they stuck with it.

[Clive Efford (Eltham) (Lab)]

It is not just the Horizon case; it is also Hillsborough, Grenfell, Windrush and the contaminated blood scandal where people are still waiting for compensation. The state and the justice system, which are there to protect citizens, actually become the enemy of the citizen. Does my right hon. Friend agree that we need to find a way for people to get quicker redress and have their cases heard, rather than the state saying that it cannot be wrong in any circumstances and leaving these people to fight for such a long time to get justice?

[Mr Jones]

I agree totally with my hon. Friend and I pay tribute to him. In all these debates over the years, he has always been on my right hand side arguing for his constituents. I thank him for his work and his persistence.

My hon. Friend also raises a bigger point. When the state get things wrong—badly wrong in this case, but he mentions other cases as well—it goes into tortoise mode and says that it cannot be wrong. Well, it has been wrong. I am not making a party political point here, because is not one. Across the House we need to come up with a system of dealing with these cases, in terms of the transparency of information that we need to get out of the system and of having a swift compensation system for putting things right. We need to work on that in the next Parliament on a cross-party basis. As the Minister said earlier, he was involved in a number of cases that involved not the state but the private sector, but they were very similar. This is something I would certainly like to work with colleagues on.

I also want to thank the Minister for his work. I would not describe him as a show pony in politics; he is the steady shire horse of this place. He is solid and determined and he pushes on, even when obstacles are put in his way. I also give credit to him for the cross-party work he has done. He has not seen it as point scoring. He has worked closely with my hon. Friend the Member for Stalybridge and Hyde (Jonathan Reynolds) and other Members across the House and I really appreciate that. I would just say to any new Ministers after the election: if you want two examples of how to do the job, the hon. Member for Sutton and Cheam and the Minister are it and they should take credit for that.

Today’s Bill is historic. We are doing something very unusual and there is a delicate balancing act to be struck between this place and the judiciary. I understand that. I always respect the judiciary, but I also reflect on the fact that it has some questions to answer in this process. We had the trade union movement for the lawyers earlier on when the hon. and learned Member for Bromley and Chislehurst (Sir Robert Neill) and the right hon. and learned Member for South Swindon (Sir Robert Buckland) were on their feet—it would not be a debate without that lobby coming in—but the judiciary needs to ask the question: how did we get into this position? There was a pattern here, and robust questions were not asked. The hon. and learned Member for Bromley and Chislehurst said that we should not attack judges, but the conduct of certain judges in some of these cases was not very sympathetic to the victims, and we need to reflect on that. I do not think this place should interfere with the judiciary. The instant reaction that this is a fight between Parliament and the justiciary is wrong, but in this case the judiciary got it wrong.

The other area that desperately needs to be looked at is the use of computer evidence in court cases. At the moment, there is no reference to computer code in law. After the election, or sooner, we need an urgent review to reflect how computers are not static machines. They might be machines, but their software and code are ever changing. That is important.

I support the current approach, although I accept that some people are not comfortable with it. As the Minister said, only 103 cases have been dealt with so far, so I will explain why I am committed to this approach. Last year I had a phone call from an individual from the north-east—I do not want to identify him—who said that his friend’s wife had been prosecuted and that he thought it might be a Horizon case. I said, “Get him to speak to me, or I can go to see them.” It took quite a few months for him to persuade his wife to meet me.

It was only when I went to see the victim in her small council flat in the north-east of England that I understood why such people never come forward. This woman had run a successful sub-post office, but she was prosecuted by the Post Office. She should have a comfortable retirement and a highly respected name in the local community in which she still lives, but she does not. She is traumatised by her experience, and she was very reluctant to see me. She was terrified and kept asking, “My name won’t be in the paper again, will it?” I said, “No, no one will know what you have told me.” She would never have come forward to go into a court process. I have subsequently spoken to the family to reassure them that, if the Bill is enacted, the victim will not go to court. This woman is terrified. Her good name will be cleared, and she will have access to the compensation that she rightly deserves.

That is just one example, and there are numerous others. People ask whether the Bill is a messy way of doing it, but I do not think it is, because people like that victim would never have justice without it. Some people might be uncertain about what we are doing, but I am not. These are unique circumstances, and I do not think they set a precedent. We can ensure that these people have their good name restored.

When the newspapers have said that a sub-postmaster stole money that they did not steal, it takes a lot for them to stay in their small community. This happened 20 years ago and the victim is still traumatised, which is why this Bill is the right approach.

I welcome last week’s announcement that fixed awards will be offered through the Horizon shortfall scheme. The advisory board was pressing for this, and the Minister championed it too. These awards are a good way of ensuring that we deal with cases speedily. I read the Select Committee’s report, and I disagree on the time limit. We need to settle the straightforward cases—they are not all straightforward, but some are.

The Minister, like me, does not want to pay lawyers. It will be better if we can avoid paying lawyers by ensuring that the compensation goes to the victims, and fixed awards are the way to do it. I consider this to be like a bucket, and we need to take out the simpler cases. We then need to consider the more complex cases, which will take time. It is easy to say that officials are deliberately slowing down the system, but I do not believe that at all. Even the lawyers representing these people need time to do it. As the Minister knows, some cases will be very expensive, more than the £600,000 compensation award. This is the right approach.

[Matt Rodda]

My right hon. Friend is making an excellent and powerful speech, and I particularly concur with his description of the enormous challenges that many victims face. Does he agree that the nature of any review or policy development is particularly important? If we can find a way to speed up the compensation by dealing with the slightly less difficult cases first, it could benefit everyone and may reduce the costs to the Government and the public.

[Mr Jones]

I think it is. In fairness, the Minister wants to get these cases done quickly, as does the advisory board. One controversial thing is that some people will get a little more money than they lost. I am comfortable with that, because I would sooner they get the money than it go to the lawyers or the process be dragged out. If we can get those cases dealt with speedily—some progress has been made on that—we can then get the effort and force put into sorting out the more complex ones.

[Sir David Davis]

The right hon. Gentleman rightly says that some people may get a little more money than perhaps come out of the arithmetic, but would most of us not pay anything to avoid what they have gone through?

[Mr Jones]

Exactly. If somebody gets more money out of this than they have in quantum lost, I am comfortable with that, as I believe is the Minister. It is better putting it into their pockets than into the pockets of lawyers, who will take their time, with this adding to the trauma that these people will have in dealing with these cases over many years.

Let me turn to the Bill’s Horizon pilot scheme provisions, because we have to address not only the Horizon scheme but the pilots that came before it. Condition E for overturning a conviction in the Bill is that the “Horizon system” was being used at the time of the offence. Clause 8 makes provision in respect of

“any version of the computer system known as Horizon (and sometimes referred to as Legacy Horizon, Horizon Online or HNG-X) used by the Post Office”.

We know that there is a difference between those pilot schemes and the actual Horizon scheme that took over—I know that, having been able to recite some of these things in my sleep.

People used a Horizon pilot scheme in the north-east as early as 1996—one went on to be convicted and others lost their livelihoods and were made bankrupt. I recognise that 1996 is the start date in the Bill, but I checked the Post Office’s website again this morning and it says that the roll-out and pilots of the Legacy Horizon system, as referred to in the Bill as part of condition E, started in 1999. So what systems were people piloting in 1996? Were they piloting Legacy Horizon? If they were, that would be at odds with what is on the Post Office’s website. I would like the Minister to refer to that and provide clarification in his wind-up, as a lot of those cases were in the north-east of England, in the area I represent.

Let me turn to another system, one that was pre-Horizon: the Capture system. As I understand it, it was software developed by the Post Office itself. I came across it through a case that had been referred to me. Given all the publicity about the Horizon scheme, it amazed me that the Post Office did not come clean and say, “Oh, by the way, we had Horizon, pre-Horizon and the Capture system beforehand.” If we look at the cases, we see that this was very much because of the attitude of the Post Office towards the prosecutions. We had sub-postmasters who were accused of stealing money and their contracts were terminated. In some cases, they were prosecuted. There was a ridiculous situation in Coventry, where a woman was taken to court and prosecuted. The judge threw out the case on the first day, saying there was no case to answer, but lo and behold, what did the Post Office do? It took a private prosecution against her to recover the £30,000 it claimed she had stolen, which bankrupted her. That shows the mentality of those in the Post Office.

A lot of those cases mirror Horizon cases. I have referred 10 cases to the Minister, five of which relate to individuals who went to prison. As I have done before, I put on record the excellent reporting by Karl Flinders of Computer Weekly and Steve Robson of the i newspaper on those cases. It has been down to me, those two and others to do the detective work, so we need the Post Office to turn up the heat and ensure we get answers. Will the Minister tell the Post Office that it is not a good idea to threaten legal action against journalists? This week, after his latest story, Steve received a phone call threatening him with legal action. That is not very bright, especially as he had all the evidence to back up his story. If that is still the attitude of the Post Office, that shows why the current management need to go.

I understand why the Government cannot include Capture in this legislation, but we need a mechanism to deal with those cases because Capture is important. I have 10 cases, but there are clearly more out there. Clause 7 gives the Secretary of State powers to make “further consequential provision” by regulation. Will that provide a potential way to include Capture cases? The Minister has all the information and he is on top of the brief. I raise the issue today and I will propose an amendment in Committee to see whether we can flesh out the matter, but we need a way to deal with those cases. I have 10 cases, but there are certainly more out there.

[Sir David Davis]

I am delighted that the right hon. Gentleman has raised that point. I referred in my speech to the 2013 BAE study that highlighted Capture, ATM cash management and a variety of other issues associated with audit failure, and basically described a chaotic management system. Earlier postmasters may not have been exonerated by subsequent analysis because people were looking at Horizon and nothing else, but we owe it to them to get this right, even if that is after this Bill has moved through the House.

[Mr Jones]

People might think that because the system is not Horizon, the Bill does not apply to them, but the cases I am dealing with show that there was an injustice. I have spoken to individuals who went to prison. The computer systems were not same, but the Post Office showed the same attitude in the way it went at individuals. It did not believe the postmasters—they were going to be found guilty, come what may.

[Paul Scully]

That approach to the investigation and the presumption of guilt was what my hon. Friend the Member for South Ribble (Katherine Fletcher) was referring to in relation to her constituents and Royal Mail, as it was before ownership had transferred. The case did not get as far as prosecution, but investigation officers, the same kind of people that we have seen at the public inquiry, made that presumption.

--- Later in debate ---

[Mr Jones]

I have seen some of those individuals at first hand at the public inquiry. People have said that everyone who is going to make a case has come out of the woodwork already, but that is not true. People are still coming forward. I am hearing about cases on a weekly cases. I thank right hon. and hon. Members from across the House who are keeping me busy by referring cases to me. Please send them to me—I am quite happy to help deal with them. I noticed this morning that there are another three cases in my inbox. The hon. Gentleman makes the key point that we need to look at those individuals to ensure we get some type of justice for them. I have to say that I was surprised by this, but, following the television programme, nearly 1,000 new cases came forward on the Horizon shortfall scheme alone. We may wonder what these people were doing all this time. Well, in some cases, they were not aware of what was happening. In other cases—

[Sir David Davis]

They were hiding.

[Mr Jones]

They were hiding, yes, because of shame and things such as that. It is only now that we realise what a massive miscarriage of justice this was that people have had the confidence to come forward. This Bill will help with that.

I shall come off Capture, because I think the Minister has got my point, but I return to those cases that have already gone to appeal. I do not criticise the Government on this, but we must find a system for dealing with those few cases that have gone through. It is no good the Court of Appeal hiding behind the fact that they have gone through, because, as the hon. Member for Sutton and Cheam has said, new evidence has come out of the inquiry that was not available to the courts at the time. We cannot just leave those people hanging—I cannot remember off the top of my head how many individuals there are, but there are not that many.

[Kevin Hollinrake]

Let me just clarify that point. A total of 1,200 people have come forward since the TV dramatisation. Seven people have taken their case to the Court of Appeal and been heard, and six have been refused leave to appeal, which makes a total of 13 in that cohort.

[Mr Jones]

What a fine research assistant the Minister is! He is right: the number is in single figures. Let us look at those cases. Let us see whether we can move forward on this. I am not criticising the Government for not including those individuals. I understand why they are not in the Bill, but we need to look at them. There are things that came out of the inquiry that would have changed the outcome in some, but perhaps not all, of those cases. If we do not look at them, those people will be left outside the remit of the Bill.

On the territorial extent of the Bill, I think the case was made earlier in relation to Northern Ireland. I see no reason why the Bill should not include Northern Ireland. We have cross-party support for it in Northern Ireland, and, as I understand it, the Executive are on board as well. We need to recognise that in Committee. I have to say to the hon. Member for Motherwell and Wishaw (Marion Fellows) that I have less sympathy with the idea of including Scotland in the Bill. Not because those individuals should not get justice—they should—but because the issue is different in Scotland. There are, in fact, two issues. First, there is the legal position: the way things are prosecuted in Scotland is very different from how it is done in the UK. Furthermore, there is a mechanism to do it, so the Scottish Government just have to get on and do it. I accept what she is saying about waiting to see what we do, but they would need cross-party support in the Scottish Parliament if that were to go forward. I do hope, however, that some amendment on Northern Ireland is brought forward in Committee, and I would certainly support it.

Finally, let me talk about the notification of individuals. Reference was made earlier to record keeping, which was not brilliant at the Post Office. We have to try to find “reasonable steps”, as the Bill says, to notify individuals. We need to look at that, because, again, some of these cases will be legacy cases. Sadly, some people will have passed away before they were able to get justice. Perhaps we need to say how we get to those cases that are possibly more difficult to get to than others.

To conclude, the Bill is long overdue, which makes this a historic day. I think of the woman I sat in front of in her council flat in the north-east of England, whose life has been ruined for the past 20 years, and who has had daily trauma because of the injustice and financial heartache that she and her family have faced. With the Bill, she will finally get justice; if that is the one thing I do in my time in this House, it will make me very happy.

[Duncan Baker (North Norfolk) (Con)]

It is a great honour to follow the right hon. Member for North Durham (Mr Jones) and that poignant ending, with which we all empathise. He has done an enormous amount get us to this point, and I thank him for it. There is no doubt that today is a very good day. It has been brought about by the Secretary of State, Ministers past and present—they are not show ponies at all—the Prime Minister, particularly through his actions at the beginning of this year, and the chair of the APPG, the hon. Member for Motherwell and Wishaw (Marion Fellows). I have worked with her many times, and I thank her for all her work.

All those people must take credit for where we are, but it has taken an awfully long time. The Minister was right that an awful lot of work has gone on behind the scenes to get to this moment. Equally, I have total empathy with the comments I receive from members of the public that it should not have taken the turbocharging of an ITV drama to put right this scandal when people across the United Kingdom knew that the situation was utterly wrong. I sometimes wish that there was as much palpable anger in our communities about other scandals as there is about what has happened to sub-postmasters, so that we could fix some of those problems.

Let us not be too critical, however. We should applaud today’s lifting of the barriers, by quashing convictions, to speed up the compensation that is due to people. As has rightly been said across the House, the judiciary will raise concerns. That is only to be expected, but I conceptualise this as an unprecedented situation that requires an unprecedented solution. The odd conviction that was warranted may slip through the net, but this has been going on for more than 15 years. As has also been said, we must not let perfection be the enemy of the good; that sums up the whole predicament and issue fairly well.

Being a new MP in this place—albeit not such a new MP any more—and being able, by quite some accident, to talk about the matter with a degree of personal feeling has been a great privilege. I never expected that in 2014 I would become a sub-postmaster for a company that had purchased a supermarket with a post office in the back of it, or that in 2015 Budgens of Aylsham, which was the post office that I was the sub-postmaster for, would become the best post office in the entire country. I am very proud of that, and it has meant that my speaking about this issue has picked up quite a lot of attention. It has been a real privilege to bring my voice to the campaigning. I suspect that I will probably be the only serving MP who has been a sub-postmaster for the foreseeable future.

What brings the debate home to me is that I could so easily have been caught up in this problem. Had we purchased that supermarket a couple of years beforehand, I could have been suffering the consequences faced by so many of the men and women we are representing this afternoon. I still remember my stepfather wandering into my office and saying, “Well, you’re the finance director, Duncan. You will be the nominated legal sub-postmaster.” We thought very little of it, other than when I was given a postman’s hat at the staff Christmas party. I remember going on the Post Office training courses. Without a shadow of a doubt, the people I met were always good, decent, law-abiding citizens—the sort of people we saw in the drama documentary and about whom we have spoken so often. Every single one of us in the Chamber this afternoon will have constituents who have been caught up in this matter.

The right hon. Member for North Durham talked about people being traumatised; that is absolutely true. In the past three or four weeks, I have sat with a lady who ran a post office in my constituency. She said, “Duncan, I have seen you on the television. Will you come round and talk to me? I was running a village post office. I haven’t been able to sleep for years because I lost money, and I want to know whether I could be recompensed.” The Minister was incredibly helpful. He immediately gave me all the links for where I could help that lady. She and I sat down and went through her books and records for the best part of an hour, totting up a few of her columns. At the end of that process, I said, “I want you to sleep better tonight. I do not think you have lost any money; I think that you are one of the lucky ones. You may have had some losses in one year but gains the next because the system just did not work.”

[Mr Jones]

We need to get that message out. I have quite a few cases in which people were not prosecuted, but they put money—a lot, in some cases—back in. The hon. Gentleman just spoke about ensuring that people come forward to get redress, and that is important. Some feel that they are not victims because they were not prosecuted or did not lose their livelihoods, but I have one case in which someone put in £80,000 over a period, and those people need redress.

[Duncan Baker]

The right hon. Member is absolutely right. The people watching this debate, or reading a report about it, must always remember that they can come forward, seek redress, and get help and support. If all else fails, contact your local MP. Most of us just want to help the communities and the people we are so privileged to represent. I entirely take his point.

I was very lucky in the case of the woman I was dealing with. I could say, “You can sleep easy tonight, because you are one of the lucky ones. The system did not work properly.” That closure—being told that—lifted a weight off her shoulders. We in this place often have the ability to open doors that people cannot open themselves. I was so pleased to be able to help.

That lady represents what we keep talking about. Sub-postmasters and mistresses were pillars of their community. Everybody in their village or town knows that those people were criminalised and simply not believed. That is where the whole of this sorry period started. In the business that I ran, I remember being incredibly worried, when the tills went down, that we had lost money. I knew one thing for sure: the staff were not taking money. I trusted them entirely.

The problem was the culture at the Post Office, which had become a corporate beast. It was losing its soul in the early 2010s, when there was an enormous push to be a stand-alone organisation, to not be reliant on the Government, and to sell, sell, sell financial products. I remember going to a 2016 Post Office conference and meeting Paula Vennells. The irony is that the conference was called “Together”, but while it was going on, hundreds of men and women up and down the country were being convicted for crimes that they had not committed. That is not very collegiate.

The legislation may not be perfect.There are Department for Work and Pensions convictions that I have taken up with the Minister that are not included in the Bill, and I know the reasons why—or his explanations. That does not mean that I do not support what we are doing today, but I certainly want to say this: we are not there yet. I think this whole situation is going to run and run for many years to come.

I do not say that light-heartedly, because I think that real closure for people up and down the country does not just mean compensation and convictions being quashed; it means criminal prosecutions of those within the Post Office who knew what had happened, but did not take the actions that they should have taken. I suspect we will see those prosecutions come forward in the years to come. I have probably said seven or so times in this place that Fujitsu needs to face some real questions. Of course, it will—it has already accepted that it will contribute compensation—but how on earth could a piece of software written by a multibillion-pound corporation have had a back door into it with no audit trail, through which somebody could simply alter figures? That is absolutely frightening. As I mentioned before, it prompts questions about the accounts of the Post Office and its auditors. So many problems will never be fixed.

As I have also said many times, I want a figure for how much money was stolen from all of those innocent sub-postmasters. Nobody has ever been able to tell me what that figure is.

[Mr Jones]

Or where it went.

[Duncan Baker]

Or even where it went. We could add up the figures that were taken off innocent men and women in the ITV drama alone, but across the country, I suspect it was tens of millions of pounds—possibly even more than £100 million. That figure needs to be identified, so that we understand the full scale of what happened here. Of course, the inquiry will conclude later this year, which will finally give us some real evidence of what went wrong.

Although I have summed up by saying there are still many questions to answer, we must remember that today is a very positive day for many, many people who are watching who were caught up in this situation. I say again, and place it on the record, that it is nice when the House comes together. There are a great number of people in the Chamber this afternoon who have done an enormous amount of good, and can hold their heads very high that we have got to this place today.

[Sammy Wilson (East Antrim) (DUP)]

First, I welcome this piece of legislation and thank the current Minister, the hon. Member for Thirsk and Malton (Kevin Hollinrake); the former Minister, the hon. Member for Sutton and Cheam (Paul Scully); and the right hon. Member for North Durham (Mr Jones), who guided me through some of the issues when I first became involved in this matter. It has been a long battle, but the job of this House when it identifies an injustice is to ensure that that injustice is addressed, and this was an injustice.

I am still baffled by how we ever reached this stage—how Post Office officials, Ministers and judges did not question how people who had so much to lose suddenly turned into thieves in their tens and hundreds. This did not happen over a long period of time. It was identified over a short period of time, yet those people were prosecuted unquestioningly. Indeed, some who knew the facts felt that because they had started going down this route, they had to continue to justify it, even if that meant withholding information and pretending that it was only one or two people so that others were not alerted to what was happening. It was an injustice.

I have heard arguments today that we have to tread very carefully with this legislation—that it is very delicate, that it could annoy the judges, and everything else. As the right hon. Member for North Durham has pointed out, the judges were also responsible, because they heard evidence. Did they question it as rigorously as they ought to have done? I do not know—I do not know many of the individual cases—but it is quite clear that many similar cases were coming before the courts, and somebody should have asked, especially given that the people who were being brought before those courts had so much to lose. Their reputation was destroyed, and up until this point, they had not engaged in that kind of behaviour.

I am not all that sensitive about stepping on some judicial toes with this legislation. This House has on many occasions been quite happy to overlook some of the legal issues in the context of Northern Ireland—exonerating, or giving letters of comfort to, people who had been guilty of murder, and so on—so I do not really have a great deal of sympathy with the argument that we have to be very concerned to tread carefully in relation to this piece of legislation.

There are just two issues that I want to raise. The first is the issue of those who have gone through the Court of Appeal already or have had their leave to appeal rejected. Given that, in most cases, the evidence that was presented and the judgments that were made would have been made on the basis, or at least partly on the basis, of trust in technology—the very thing we are saying was wrong in the cases of those we are now seeking to exonerate—means that we should be looking at those cases. Whether or not they are dealt with on a one-to-one basis, they should not be ignored, because the same kind of evidence used in those appeal cases was used in the court cases. Again, it would be an injustice not look at those particular issues. Regardless of how that is dealt with, and whether we should include the appeal cases totally or they should be looked at individually, I think we cannot ignore that one.

Of course, the issue I really want to address is clause 9 on the territorial extent of this Bill. I have had conversations with the Minister, and I know he is sympathetic and understands the issues in relation to Northern Ireland. However, when I listen to the arguments, I really do not think there is a case for excluding Northern Ireland from the scope of the Bill. Yes, justice is a devolved issue, and the Minister has said on other occasions when I have raised this with him that we have to be very careful of the political sensitivities. However, I have to say that there was not much concern in this House about political sensitivities when we put through a list of Bills the length of my arm that were controversial. People in Northern Ireland did not want those Bills taken in this House, and the parties were divided on them.

In this particular case, there is no division and there will be no kickback from any party in the devolved Administration. In fact, the First Minister, the Deputy First Minister and the Justice Minister—the three Ministers who will be responsible for this—have all written to the Minister indicating that they would be fully supportive. They would be fully supportive because they believe that it would not be possible to keep in step with the timing of the legislation that will go through here, and the reason for that is quite clear. It is the way in which the Northern Ireland Assembly is obliged by law to consult on legislation.

I do not even know whether the legislation would first have to be included in the programme for government, which would be one step, and after it had been included in the programme for government, consulted on. However, even if it we only have it as stand-alone legislation outside the programme for government, there is a 12-week consultation period. As the Deputy First Minister and the First Minister have pointed out, that means legislation could not even be considered in the Northern Ireland Assembly this side of the summer recess, so we would be talking about the autumn. There is a compelling case not only because there is no opposition, but because, if it were to go down the route of the Northern Ireland Assembly, it would be delayed.

[Mr Kevan Jones]

Does the right hon. Gentleman agree with me that the number of cases is small—I have heard different figures, but we are talking about no more than 30 cases—but that cannot justify the delay, which he is eloquently describing, in keeping these people from their recourse to justice?

[Sammy Wilson]

I think that is right. Some people may, of course, turn that argument around and say, “It’s only a small number of cases, so why should we be concerned?” But although the number may be small, since this issue has become so public there is public outrage on behalf of those who have been unfairly treated. Many people who have spoken to me about this have not been affected personally by the Horizon scandal, but there is a sense of injustice that some people were affected in such a way—they lost their reputation, their money, their business, in some cases their families, and their peace of mind—and there is a need not to delay any longer if at all possible. One way of ensuring that there is no such delay is to include Northern Ireland in the Bill.

When the Secretary of State was asked about this issue she said that she wanted to avoid unintentional consequences. Those unintentional consequences were unspecified because we did not get any examples, but I do not see how there could be unintentional consequences from including Northern Ireland in the Bill. It is a tight piece of legislation. It specifies who is covered by it, what offences are covered, and the way that the exoneration would be implemented by having records removed and so on. I cannot see where the unintended consequences would be, and I find that argument fairly weak.

--- Later in debate ---

[Kevin Hollinrake]

Employees generally are an issue, because they do not have a contractual relationship with the Post Office, which is required to enter the compensation scheme, but if the company itself did have one it could make a compensation claim that could then be passed on to that individual. I am very happy to discuss individual cases with the hon. Gentleman, or with other Members.

I pay tribute again to all the work of my hon. Friend the Member for Sutton and Cheam. I agree that this was a case of human failure as well as technological failure, and that the wheels of justice are moving too slowly. That is why we have stepped in in this way. I am always grateful for the work of the right hon. Member for North Durham, not least on the Horizon compensation advisory board. He has made some important recommendations, which we have adopted. He gave a four-legged analogy about the person I am: he called me more shire horse than show pony, which I take as a compliment. I would describe him in a four-legged way as well: he is a cross between a terrier and a rottweiler, and he is highly effective in the way he approaches this issue.

The right hon. Gentleman asked about convictions relating to pilot versions of Horizon. That is why we have set the date at 23 December 1996. That is the first point of the roll-out of an application called Pathway, which was a predecessor Horizon application. We think that the legislation, and therefore the redress schemes, capture—if I can use that word—cases that relate to the pilot schemes in clause 8.

As the right hon. Gentleman knows, we look at the Capture system slightly differently. Capture is a stand-alone spreadsheet rather than a network computer system. There is no remote access, for example. The key thing is that what we are doing here is exceptional and unprecedented. We have the body of evidence because it has been before a court. Part of the reason the court made its decision in 2019 was based on the Horizon issues, as it put it. We do not have that body of evidence with Capture. We are keen to talk to him to ensure that we look at the evidence. That conversation will continue.

The right hon. Gentleman talked about the power to make consequential provision. We do not see that as giving us the ability to include another group of people; there are different reasons why that power is in the Bill. It is for matters that are a consequence of the Bill, which we do not think is the right vehicle to include people, for example, who have been affected by the Capture system. As I say, we will continue to discuss that.

As I said earlier, we understand the arguments about Northern Ireland, and we will continue to engage, as we will with other Members of this House. In terms of reasonable steps, the process is in development. It is about marking the records and writing to individuals. When we have passed the legislation, we will write literally that day, or the next day, to those individuals to say, “You’re conviction has been quashed,” and we will give them details about how to claim compensation.

[Mr Kevan Jones]

I know that the Minister is committed to ensuring that everyone is contacted. What about the legacy cases—when people have passed away? Will someone try to contact their estates, for example?

[Kevin Hollinrake]

Those are challenging issues. The key thing—I hope the right hon. Gentleman takes this in the right way—is that what we are doing here to quash convictions does not require people to come forward. When the conviction has been quashed, we will contact the most relevant person in that context. Those people can take forward a claim in exactly the same way, and it will be considered in exactly the same way, as any other claim. The estate, the families, can claim compensation.

[Mr Jones]

I agree with the Minister, but I think this needs to be given some thought. Perhaps the advisory board might look at legacy cases in which people have passed away, because those entitled to compensation might not come forward. We might have further discussion about that.

[Kevin Hollinrake]

I am very happy for us to look at that, and to work with the right hon. Gentleman and the advisory board. I take this opportunity to pay tribute to him, Lord Arbuthnot, Sir Chris Hodges, and Professor Richard Moorhead for their work in this area. We will continue to work closely alongside the right hon. Gentleman.

My hon. Friend the Member for North Norfolk (Duncan Baker) recognised the work of people other than me on this matter—not least the Secretary of State, the Prime Minister and the Chancellor. I recognise that he is the only serving postmaster in this place, so we always listen carefully to what he says. Like him, we encourage people to come forward to claim compensation.

The people not included in the legislation—those who have been convicted as a result of prosecution by the DWP—can still appeal in the normal way, and I encourage them to do so if they feel that there are grounds for that. My hon. Friend asked about Fujitsu and the quantum it is due to pay. Our view has always been that we should let the inquiry conclude and determine responsibility. We will then know the extent of the compensation bill, and that will be the right time to have a conversation about contributions, for which Fujitsu has already accept a moral responsibility; we welcome that. Although the Post Office has had a chequered past in this regard, I believe that it has a very bright future, and we are keen to ensure that it does. We should always keep that in mind.

I understand what the right hon. Member for East Antrim (Sammy Wilson) said about the territorial extent of the Bill. As I said, I met the First Minister, Deputy First Minister and the Minster of Justice for Northern Ireland yesterday, and I will continue to do so. We are determined to ensure that measures are brought forward as quickly as possible in all areas of the United Kingdom. The right hon. Member makes a compelling case about the need for public consultations in his jurisdiction. We are aware of that. There are 26 cases in Northern Ireland, and we are keen to ensure that they are overturned as quickly as possible. We will continue work to ensure that that happens.

The right hon. Member for Orkney and Shetland talked clearly about ensuring that prosecutors are accountable for their role. Decisions were taken in Scotland. He was right to say clearly that a legislative consent motion does not offer the same level of parliamentary accountability, and I think we should all reflect on that. His final words were “accountability makes a difference.”

The hon. Member for North Down (Stephen Farry) talked about his preference for the measures to be UK-wide. We understand that; we have had several conversations and will have many more, I am sure. I understand his point about the risks of judicial review and of delays to public consultation. He feels that he makes an overwhelming argument. We will keep those conversations going.

I concur with the shadow Minister, the hon. Member for Bethnal Green and Bow, and echo her tribute to Alan Bates, Jo Hamilton, Lee Castleton, journalist Nick Wallis, campaigner Dan Neidle, another journalist Tom Witherow, Lord Arbuthnot, Karl Flinders and many others, including many Members of this House. We pay tribute to them for their work. We recognise the profound impacts that the Horizon scandal has had on those who were falsely accused. It has taken too long to get to this point, and our ambition is to get this legislation through both Houses by July and compensation paid to the victims by August. Through this Bill, we will exonerate those who were so unjustly convicted of crimes that they did not commit and provide fair redress as swiftly as possible. I commend it to the House.

Question put and agreed to.

Bill accordingly read a Second time.

Budget Resolutions

Lord Beamish Excerpts

Wednesday 6th March 2024 Commons Chamber

[Sir Peter Bottomley (Worthing West) (Con)]

It is interesting to follow the hon. Member for Inverness, Nairn, Badenoch and Strathspey (Drew Hendry). I was waiting to hear how the experiment with higher taxation is going. I invite the SNP to publish the figures showing how many of the top 10 philanthropists in Scotland five years ago are still paying tax in Scotland, and how the top 10 individual taxpayers in Scotland five years ago are doing now. [Interruption.] It is an example. SNP Members do not like having questions put to them, but there we are.

When the Leader of the Opposition started speaking, it sounded to begin with as though it was his Health spokesman who was speaking. I also reflected on the journey of the Leader of the Opposition over the last few years. In 2017 and 2019—within the memory of the House—he wanted his right hon. Friend the Member for Islington North (Jeremy Corbyn) to be Prime Minister. When there was a vacancy to succeed the right hon. Member for Islington North as the leader of the Labour party, the candidate who was closest to him was the person who is now the Leader of the Opposition. His journey over the last couple of years in changing his views, or his approach, is quite significant.

I think people can believe that the Labour party wants to change. For example, in the other Worthing constituency—I represent two thirds of the town—none of the local councillors was judged suitable to be put on the shortlist for selection as the parliamentary candidate. That shows central power in the hands of the Leader of the Opposition and his national executive. I think most people will have found that surprising. Had I been one of the Labour councillors told I could not apply, I would have been pretty upset.

The reaction I have received from my constituents to the financial statement and the Budget has come down to one particular point. Someone said, “Could there please be a change on the level of pension pot that requires financial advice?” When it was introduced in 2015, the level was £30,000. My constituent, who has a pension pot of £32,500, has been quoted £7,000 for advice on how to realise that relatively small pension pot. I ask Treasury Ministers to consider whether in the Finance Bill they could lift that figure to £40,000 or £50,000, so that people who want to gather up a small part of their defined-benefit pension can use it.

The second reaction that I had from a constituent was that, since Labour took control of Worthing Borough Council, two thirds of the reserves have gone within two years. People are worrying whether the council can remain solvent. If that is a test of what Labour might do in government, it is a pretty good reason to follow the Chancellor and the Prime Minister, and to re-elect us so that we can go on trying to raise the levels of productivity and growth, reform and develop public services, and get more people into work, with higher tax revenues and preferably lower rates of tax.

The Chancellor announced changes to the penalties on child benefit. I go back far enough to remember when most of the value of child benefit came in the child tax allowance. Children cannot work. If I had a dependent pensioner in my household, an income would come with them. Any family who have a child under working age ought to be able to get that kind of support, so that over a family’s lifecycle they receive support when they need it and pay back in when they are more able to work. I hope that we can move to a stage where the child benefit penalty goes completely. There is no philosophical or economic justification for it. It was an error, and I hope that I voted against it when it came in.

[Mr Kevan Jones (North Durham) (Lab)]

You didn’t.

[Sir Peter Bottomley]

I probably did, you know. I am that sort of person.

There are many things on the environmental side that I will not go into due to the limitations on time. I hope that the proposed district heating scheme, which the Government want to be one of their flagship projects, supported by local authorities, can go ahead. There is a problem with the cost of lane rental to put hot pipes under our roads, but we need to give serious attention to how we get major investment so that nearly all our homes come off burning hydrocarbons, whether it is gas or the like, and get on to solar heating or heat pumps—either air or ground source heating. That will require major effort, especially for residential leasehold properties.

The Chancellor announced more money for more free schools. I hope that one of them will be the special educational needs and disabilities school proposed in Worthing, on the new Durrington estate. Nearly one child in five in West Sussex has some kind of statement or need They deserve specialist support. It is good for them, and good for the other children. I hope that we will get an announcement on that very soon. Having said that, I welcome the Government’s plans. Those who say that Labour would take us back to square one are exactly right.

--- Later in debate ---

[Dame Angela Eagle]

I think that the costing of the policy in the forecast ought to be more honest and it should be taken out of the scorecard if it is not to be put into effect.

Taxes are still higher than they have been since the second world war, and the Government have continued to fritter billions on fraud and waste. Only today, we learned that taxpayers have had to pick up the bill for the legal costs of the Secretary of State for Science, Innovation and Technology and for the damages in a libel case. How much has that debacle cost us?

First, the Conservatives gave us the catastrophic mini-Budget with its unfunded tax cuts, which spooked the markets and sent mortgage costs and rents soaring for millions; and now the current Chancellor has decided to fund his election giveaways with the fiscal fiction of huge cuts in planned departmental spending scheduled to last the whole of the next Parliament. There are no detailed plans for how those cuts in spending can be safely delivered, because we are not to have a spending review. Today, the Chancellor confirmed that there will not be a spending review until after the next general election. He pencilled in a so-called increase of nearly 1% for departmental budget spending, but has not compensated for higher than expected inflation or population growth, or any extra cost pressures.

[Mr Kevan Jones]

Departmental spending is not just flatlining at 1%; if my hon. Friend looks at capital on page 27 of the Red Book, she will see that most Departments are staying still or, in some cases—such as the Home Office, Education and Defence—having their budgets cut by 2024-25.

[Dame Angela Eagle]

My right hon. Friend must be able to read my mind, because that was exactly the point I was coming on to make: in real terms, there are cuts of up to 18% in unprotected Departments, going all the way through to the end of the next Parliament. That has been described by David Gauke, the Tory ex-Treasury Minister as the height of “fiscal irresponsibility”.

The legacy of this Government is burgeoning Government debt, up from 64.7% of GDP when Labour left office in 2010 to 95% now. The Chancellor will barely meet his own self-imposed fiscal rules by the tiniest of margins. Meanwhile, his neglect means that NHS waiting lists have soared, with 7.8 million treatments outstanding, and despite publishing 11 plans for growth since 2010, the trend growth rate is down from 2.3% in the 2000s to 0.8% this year. There is no regional plan, no working industrial strategy and no sign of levelling up—regional disparities are widening, not closing—and GDP is now £400 billion less than expected from the 2010 OBR growth rate forecast. Wages have stagnated, and the Government have delivered deepening levels of poverty, caused by low wages and real-terms benefits cuts, which have reduced the incomes of the poorest 20% and seen the number of people relying on food banks go from 60,000 to nearly 3 million. We have seen the last desperate throw of the dice from a failing, discredited Government, who have long since run out of ideas and are finally running out of road.

--- Later in debate ---

[Ed Davey (Kingston and Surbiton) (LD)]

What we heard from the Chancellor was a Budget that reeks of desperation and deceit from a Government who know that they have lost the trust of the British people. It is a bottom-of-the-barrel Budget, with nothing to make families truly better off after the catastrophic fall in living standards under the Conservatives, and no plan for long-term economic growth, no real extra support for the NHS and our public services, and no end in sight for the years of unfair tax hikes—just a last ditch attempt from the Conservative party to cling on to power.

People have had enough of this Government’s empty promises. What they want is a general election to get this out-of-touch Government out of Downing Street. They are sick and tired of a Government who promised in last year’s Budget to grow the economy only to plunge it into recession, who promised to bring down NHS waiting lists only to let them continue to go up and up, and who promised to cut tax but have instead hit families with years of unfair stealth tax rises.

Never before have I seen a Government deliver weaker public services, higher taxes and zero growth all at the same time, and all in the middle of a cost of living crisis. I fear that, by designing his economic policy to give a short-term sugar rush to Conservative Back Benchers, the Chancellor is condemning millions of families to high mortgage rates for much, much longer. The House need not take my word for it; just look at the OBR, which forecast mortgage rates staying at 4% or more for the next five years at least. That is a disaster for homeowners across the United Kingdom.

Let us look at taxes. The Chancellor seems desperate to convince people that he is letting them keep more of their own money, but he is fooling no one. Everyone can see his supposed tax cut for what it really is: a badly executed conjuring trick, giving with one hand but taking away twice as much with the other. Since last April, a typical household has already paid £1,500 extra because of his stealth tax on income tax thresholds. That is money that they are simply not going to get back. Even after today’s announcements, that same family will pay an additional £366 in tax next year because the Chancellor has frozen their tax-free allowance. On top of that, they have soaring mortgage payments, food prices and energy bills to worry about. This tax cut had already been wiped out by the time the ink dried on the Chancellor’s speech.

People were also looking for investment in our public services, especially our NHS. Across our country, I see more and more frustration that nothing seems to work anymore under this Government. People cannot get a hospital appointment in time, they cannot see their GP in time, and they cannot get an ambulance on time. In Hampshire, the local NHS is so stretched that there is a proposal to close the A&E at the Royal Hampshire County Hospital. In Manchester, Stepping Hill Hospital has had an entire out-patient ward closed for months because it is unsafe for patients and staff. In south London, St Helier Hospital has been left to crumble, with no sign of the investment promised by the Government, and A&E and maternity services are at risk of closure. When the Chancellor makes cruel cuts to vital services, it does not just affect numbers on a spreadsheet; it affects people’s lives. Either he does not get that, or he just does not care.

[Mr Kevan Jones]

I hear what the right hon. Gentleman says about investment, but from 2010 to 2015 he was part of the coalition that savagely cut services in the north-east, including expenditure in local government and health. The consequences are now having to be addressed because that austerity has continued. Does he take any responsibility for his role in our crumbling infrastructure?

[Ed Davey]

First, I say quite gently to the right hon. Gentleman that the spending plans proposed by the Labour party going into the 2010 election were worse than what actually happened. Moreover, when in government, we fought the Conservatives on maintaining education spending, which we did maintain. They then cut it after 2015.

Let us look now at the economy. Perhaps the most out-of-touch claim by the Chancellor is that the economy is “turning a corner.” The only corner the economy is turning under this Government is from stagnation to recession. They have left our economy smaller than it was in 2022, when the Prime Minister took office. The best growth rate they have achieved in the past three quarters of 2023 is 0%. GDP per capita—people’s share in our country’s wealth—has been falling for nearly two years in a row. That is the longest stretch on record, and it has left the average household £1,500 poorer. There is worse to come. Nearly 5 million mortgage holders will soon see their repayments skyrocket by an average of £240 a month because of the high interest rates.

That is the Government’s real track record: a recession made in Downing Street with no hint of a chance to turn things around. The Chancellor could have stood up today and given people a fair deal. He could have cancelled the unfair tax hike that he has planned for April, and raised the tax-free personal allowance. He could have properly funded the NHS, to bring down waiting lists and let more people return to work, helping to grow our economy. He could have championed unpaid carers and raised the carer’s allowance. He could have supported people with the cost of living and those struggling with their mortgage payments by reversing his tax cuts for the big banks. He could have presented a serious plan for economic growth by launching an industrial strategy, reforming business rates and standing up for our small businesses. Instead, he went for one last roll of the dice in a desperate attempt to cling on to power.

I think people have already made up their minds. The Government must do the right thing and call a general election right now before they do even more damage to our wonderful country.

--- Later in debate ---

[Mr Kevan Jones (North Durham) (Lab)]

In his Budget statement, the Chancellor said: “In recent times…the UK economy…has dealt with a financial crisis, a pandemic and an energy shock caused by war in Europe”. Like Government Members today, he conveniently airbrushed out of history two of the Conservative Government’s self-inflected wounds. One of them is Brexit; page 38 of the OBR’s report states that trade with Europe is down 15%, costing the economy 4%, and that the long-term effects will not be known for 15 years.

The other issue airbrushed conveniently out of history—I am surprised that the Chancellor forgot this, because it is how he got his job in the first place—was the mini-Budget by the right hon. Member for South West Norfolk (Elizabeth Truss). We are still paying for that through people’s mortgages. Although she has gone off to pastures new, surrounded by an audience of conspiracy theorists and right-wing extremists, the core of what she argued is still on display. It is about a small state, and a society in which the Government will not invest in our public services. We have had 14 years of that. In the north-east, real-terms median wages are 7% below what they were in 2008. In my constituency, 24.7% of children live in relative poverty. It is absolutely disgraceful and makes me angry that in the sixth most prosperous country in the world, life expectancy in County Durham has been going down in the last 10 years, while suicide rates are at a record high in the north-east. That has not happened by accident.

The Government made a great pledge to have more police officers on the beat, but we have 135 fewer than in 2010, even with the recent increases and extra expense. As for the joke of levelling up, which is the equivalent of pork barrel politics at its worst, it is not joined up across the country, but mainly focuses on the distribution of capital sums to places where the party in power can get political capital out of it. We have had one successful bid in County Durham, which happened to be in Bishop Auckland. It has got us half a bypass. Today, the Chancellor announced that there will be a new £100 million devolution deal for the north-east. In the last 14 years, Durham County Council alone has had to cut £260 million from its budget. Every single council in the north-east has lost upwards of 30% of its budget, so the money will not replace what has been lost.

We see from today’s Budget and the Red Book that there is stagnation, or even cuts, in every single non-mainline Department. For example, the budget for defence—both capital and revenue—goes down next year. In education, the budget flatlines. The 1% increase that the Chancellor announced today is basically a cut to our public services. That is not an accident; it is a fact of life, and it is because the Chancellor and the Prime Minister are so scared of the right-wing faction of their party. It is about squeezing the state and making sure that the Conservatives give away tax cuts, even though they have created their own problems through their wasteful economic mismanagement over the last 14 years. It will lead to dire cuts.

I feel strongly about local government, because it is quite clear that councils will fall over. The Government say that councils are falling over because they are being wasteful, and because some of them have done some very dodgy things in property, even though they were encouraged to by the Government during their time in power. People ask why 6% of Durham County Council’s budget is now spent on looked-after children and older people’s care. It is because austerity resulted in cuts in children’s services and the closure of Sure Start centres. It does not take a genius to work out that if we take away support for families, we get more children coming into the care system. That puts huge pressure on budgets; at the same time, the Government are offloading their responsibilities on to local council tax payers.

Let me finish by raising two issues that I feel very strongly about. The Budget is about kicking the can down the road, and frankly, the Government are a disgrace. Many people will know that I have been involved in the campaign to get justice for sub-postmasters for many years. I give credit to the Under-Secretary of State for Business and Trade, the hon. Member for Thirsk and Malton (Kevin Hollinrake), who has been a very good Minister and has tried to get the compensation out there. However, page 77 of the OBR’s report shows that the Budget puts no extra money into the new schemes. I agree with my right hon. Friend the Member for Kingston upon Hull North (Dame Diana Johnson): it is scandalous that no money has been allocated for the contaminated blood victims. That is cynical, and it is about kicking this issue into the general election and hoping that somebody else will deal with it. The Government have a moral duty to both groups of people, and need to put money aside for them.

This Budget is a missed opportunity, and it is more of the same. People in this country need to wake up and recognise that we cannot have well-delivered local services and well-structured, supportive communities under this Government. Until we get an election and people wake up to the facts, we will have more of what we have had over the last 14 years. The only way things will change is under a Labour Government.

Post Office Board and Governance

Lord Beamish Excerpts

Wednesday 28th February 2024 Commons Chamber

[Kevin Hollinrake]

I thank the hon. Lady for making that point and for representing her constituents so well. Yes, absolutely, we understand that this is distracting, or could distract, from work to ensure not just that we make right the wrongs of the past, but that the Post Office has a strong future, as she put it. I totally agree. We think that the Post Office does have a strong future. Revenue streams have been affected by changes in how and where people acquire certain things or access certain services, but the banking framework—we encourage the Post Office to be more ambitious in its negotiations with the banks on the remuneration that flows from the framework to postmasters—and the parcel hubs are an opportunity for the future. We believe that the Post Office has a strong brand and strong future. We are keen to support its efforts to ensure that the future is bright for all postmasters.

[Mr Kevan Jones (North Durham) (Lab)]

I declare my interest as a member of the Horizon advisory board. Welcome back to the Minister. He should bring in his sleeping bag—he is here that often. I was at the five-hour marathon yesterday, and I was totally unconvinced by Henry Staunton’s accusations, and his allegations about delaying compensation. Like the hon. Member for Christchurch (Sir Christopher Chope), I wonder why Mr Staunton was appointed in the first place—to any board, for that matter. However, to come to the point, Mr Staunton did raise the point that the chief executive is under investigation, following an 80-page report. I accept that the Minister cannot talk about that individual—that would be wrong—but he knows that the culture at the Post Office is rotten, and it is important that the cloud be lifted quickly. When the Secretary of State came to the House on 19 February, did she and the Minister know that Nick Read was under investigation? Is it true that the former HR director who wrote that report has left the Post Office with a settlement, and does that settlement include a non-disclosure agreement?

[Kevin Hollinrake]

I am very happy to come to the Dispatch Box any time I am required to, or feel that there is a need to, which, as the right hon. Gentleman says, is quite often at the moment.

I was aware of the investigation relating to Mr Read and Mr Staunton. That was not the reason why the Secretary of State decided to part company with the chair; that was about interfering with the investigation. The right hon. Gentleman asks about the HR director. I do not know about those matters, but I am happy to look into them and come back to him.

Post Office Horizon: Compensation and Legislation

Lord Beamish Excerpts

Monday 26th February 2024 Commons Chamber

[Kevin Hollinrake]

I thank my right hon. Friend for her constant correspondence and engagement with Mr Ward. I wrote to her recently about the case, and asked to be kept updated on his progress.

The £75,000 is one of two routes that people can take. If they feel that their claim is below £75,000, they do not have to submit any evidence and can simply opt for the £75,000, take that money off the table, and move on with their lives. If they feel that their claim is significantly higher than that, they can opt for the full-assessment route, which inevitably takes more time because assessing someone’s loss is a complex process. The submission of a claim for financial loss will require forensic accountants on behalf of the claimant, and other assessments of the type that my right hon. Friend mentioned will also be needed. All the compensation schemes with which I have been involved during my time in this place have been complicated, but we are trying to simplify this one. Only last week we discussed with the advisory board measures to accelerate the process, but the fundamental principle is that claimants such as Mr Ward should always be given the benefit of the doubt.

[Mr Kevan Jones (North Durham) (Lab)]

I declare my interest as a member of the Horizon compensation board, and I thank the Minister for his statement. It is welcome to see him, rather than the Secretary of State, present today’s statement. I welcome the approach that the Government are taking on overturned convictions, but I note that it includes pilots.

I have given evidence to the Minister and the public inquiry about the Capture system. Those affected need to be included in any overturned convictions and to get compensation. I am slowly getting the evidence out of the Post Office and from individual cases, and it comes back to a point that the Chair of the Select Committee just made about the role of the Post Office. The Minister wrote a letter at the weekend to the Select Committee, saying that the culture at the Post Office has changed, but it clearly has not; the toxic culture is still there. Until the Post Office is taken out of this process altogether and forced to regurgitate the information, nothing will change. The Minister knows that one of the advisory board’s recommendations is to do exactly that. Until we do it, postmasters will not have any faith in the process.

[Kevin Hollinrake]

I thank the right hon. Gentleman again for his tireless work over the years and, indeed, for his work in recent months on the advisory board. It is hugely important for accelerating this process.

We have discussed Capture on a number of occasions. It is important that we have the right body of evidence on that, and I am keen to work with the right hon. Gentleman to make sure that we do. Clearly, intervening in matters that were independently decided by the courts is a step we take very rarely—it is unprecedented in this context—but I am happy to discuss that further with him and to help him seek evidence from the Post Office where he needs more evidence on this issue. We discussed it last week, and I am keen to make sure that we have the process running as independently as possible.

I can assure colleagues, any claimants out there and the wider public that every single process—not least the GLO scheme and the overturned convictions scheme—has an independent reviewer. It is Sir Gary Hickinbottom for the overturned convictions scheme and Sir Ross Cranston for the GLO scheme. These are very highly regarded individuals, who will make sure that postmasters who come forward are fairly treated and get the redress they deserve.

Post Office Horizon Scandal

Lord Beamish Excerpts

Thursday 22nd February 2024 Commons Chamber

[Mr Kevan Jones (North Durham) (Lab)]

(Urgent Question): To ask the Secretary of State for Business and Trade if she will make a statement on financial redress for sub-postmasters and outstanding issues relating to the Post Office Horizon scandal.

[The Parliamentary Under-Secretary of State for Business and Trade (Kevin Hollinrake)]

As a Back Bencher, I first spoke on the matter of compensation for victims in March 2020, which is obviously long after the right hon. Gentleman first campaigned for it. I pay tribute to his campaigning on this subject, which remains undiminished. My appetite for compensation for postmasters is equally undiminished, although I accept the need to increase the pace of delivery.

As of this month, £160 million has been paid in financial redress to more than 2,700 victims affected by the Horizon scandal. More than 78% of eligible full claims received have been settled as follows: 102 convictions have been overturned, and 42 full claims have been submitted, of which 32 have been settled; 2,793 applications to the Horizon shortfall scheme have been received, and 2,197 have been settled; 58 full claims have been submitted to the group litigation order scheme, and 41 have been settled.

Our top priority remains ensuring that victims can access swift and fair compensation. We have introduced optional fixed-sum awards of £600,000 for victims with overturned convictions and of £75,000 for group litigation order members as a swift means of settlement, and 100% of original applicants to the Horizon shortfall scheme have received offers of compensation. Today we are discussing what other measures can be taken to speed up compensation with the Horizon compensation advisory board, on which the right hon. Gentleman sits.

Since the Prime Minister’s announcement on 10 January, officials in the Department for Business and Trade and the Ministry of Justice have been working at pace to progress legislation for overturning convictions related to the Post Office’s prosecutorial behaviour and Horizon evidence. I will provide a further update to the House very soon.

[Mr Jones]

Thank you, Mr Speaker, for granting the urgent question. I draw the attention of the House to my interest as a member of the Horizon compensation advisory board.

I like the Minister. He campaigned on this issue before he was a Minister, and he has been a very good Minister, but a lot of that good work was undone on Monday by the performance of the Secretary of State for Business and Trade. I am disappointed that he has not taken the opportunity today to talk about the overturned convictions. I understand that later today, at 12 o’clock, there will be a written ministerial statement on the subject. I do not think that is the way to do it, as the House needs an opportunity to discuss the overturned convictions.

I will ask the Minister a few questions. It is quite clear now that Nick Read, the Post Office chief executive, wrote to the Lord Chancellor basically opposing the overturning of all convictions, saying that up to 300 people were “guilty”. It is not yet clear who instructed him to do that. On Monday, the Secretary of State said it was done off his own bat. I would like to hear what the Minister has to say on that.

If there are to be overturned convictions, they cannot just be about Horizon; they should also be about Capture. Evidence that I have put to the public inquiry and sent to the Minister yesterday clearly indicates that the scandal predates Horizon. Those affected need to be included in both the compensation scheme and among those with overturned convictions.

The board is meeting this afternoon, and we have made recommendations to the Minister on how to simplify and speed up the compensation scheme. Will he give an assurance to the House that once the recommendations are agreed, we can announce them quite quickly, primarily to restore to the sub-postmasters some faith, which was wrecked by the performance of the Secretary of State on Monday?

If the Minister’s written ministerial statement at 12 o’clock is about overturning convictions, will he give a commitment to come back to the House on Monday to give an oral statement, so that the House can interrogate him and discuss that issue?

[Kevin Hollinrake]

I thank the right hon. Gentleman for his question. The overturned convictions are a key priority for me and my Department. I am always keen to update the House whenever I can. There always has to be a sequence to ensure that we follow proper process. What we are doing potentially affects the devolved Administrations, so it is really important that we engage with them properly. That is one of the reasons why we need to make the written statement later today. I have never been unwilling to come before the House and report on what we are doing. I will, of course, continue to do that.

On the letter from the chief executive to the Justice Secretary, I am aware of the allegations by Mr Staunton. They are very serious allegations that should not be made lightly or be based on a vague recollection. If the right hon. Gentleman looks at the letter from the former permanent secretary, it is clear that she believes the allegations are incorrect, and that there was never any conversation along the lines referred to by Mr Staunton. I think it is pretty clear that those allegations are false.

The right hon. Gentleman has regularly brought up Capture. We are keen to continue to engage with him on that to ensure that those affected are included in any compensation where detriment has occurred. I note his point about an oral statement. As I say, I am always keen to give such statements whenever possible, and to be interrogated on our plans. I do not think he will be disappointed by what we announce later today.

Post Office Governance and Horizon Compensation Schemes

Lord Beamish Excerpts

Monday 19th February 2024 Commons Chamber

[Kemi Badenoch]

That is one of the reasons why we have been making personnel changes in this area. It goes back to the point I was making in the statement: Post Office needs an effective chair. Until the day I had the conversation dismissing him, I never had any correspondence from Mr Staunton about difficulties that he was having with UKGI. If he was having difficulties, he should have told me, rather than give an interview to The Sunday Times effectively stating that he had no control over the organisation that he had been appointed to run.

[Mr Kevan Jones (North Durham) (Lab)]

The Secretary of State says we have to accept that Henry Staunton’s accusations are completely false. The letter that Nick Read wrote to the Lord Chancellor about overturning convictions mentioned that about 300 people are possibly going to be “guilty”. She has just told the House that the investment body did not instruct him to do that. Henry Staunton said he did not tell Post Office to write the letter, and the board did not know about it, so who did? For the sake of openness and transparency, she should produce all correspondence between UKGI and Post Office. The Secretary of State has accused Henry Staunton of lying in public. The only way we can judge whether she is telling the truth is if we have all the information out there.

Can I just say to the Secretary of State, in relation to her obsession with tweeting, that although she says that people are jumping “on the bandwagon”, some of us have been involved in this for many years on a cross-party basis, including through work with her colleague the Under-Secretary of State for Business and Trade, the hon. Member for Thirsk and Malton (Kevin Hollinrake), so that is quite insulting. What message will the Secretary of State’s tone today send to sub-postmasters? I will tell her: more cover-up and obfuscation. Get the information out there and explain what is going on. Otherwise, she will not have their trust. It will just be more of the same that we have seen over many, many years.

[Kemi Badenoch]

I completely reject the right hon. Gentleman’s assertions. This is the political point scoring that I talked about earlier, which we just need to stop. Rather than focusing on the issue, he is talking about my tweeting. Maybe he should get off Twitter and actually listen to what I am saying at the Dispatch Box. He is talking about a letter that UKGI says it did not ask Nick Read to write. The only possible answer is that Nick Read himself decided to write that letter. I did not ask him to write it, the Post Office says that it did not, and UKGI did not. These are the sorts of things I am talking about—continuing to make aspersions about Ministers. We have made the Post Office an independent body, we have an independent inquiry, and the information will come out in due course.