Post Office Management Culture

Roger Gale Excerpts

Thursday 8th February 2024 Commons Chamber

[Richard Graham]

The hon. Gentleman is making some very good points, as did the hon. Members for Inverclyde (Ronnie Cowan) and for Motherwell and Wishaw (Marion Fellows). All of us who have been in the House for a while share the feelings that all three Members have expressed of horror and great anxiety, given the cases that we are dealing with. However, roughly 3,000 people work for Post Office Ltd, including all those working in Crown post offices, like the one in my constituency of Gloucester. It is important that we try to separate things out in our minds before we know from the inquiry precisely where guilt lies and where charges and prosecutions will come, so that we do not label everybody within Post Office Ltd with the accusations that are rightly being made in the House today.

[Mr Deputy Speaker (Sir Roger Gale)]

Order. Before we proceed, I heard what the hon. Member for Wansbeck (Ian Lavery) said, and I heard the Chairman of Ways and Means’ admonition of another hon. Member earlier. The difference in this case is that the hon. Member for Gloucester (Richard Graham) was here for the start of the speech. That said, I personally believe that there is a prerequisite for Members, whenever they can, to be in from the start of a debate and to hear the whole debate.

[Ian Lavery]

The hon. Gentleman makes a valid point, and nothing I have said up until now has criticised everyone in the Post Office. We have some fantastic employees in the Post Office, but I am not going to say the same thing about the executive team in the Post Office. I refuse to accept that things have changed, because the management culture within the Post Office has not changed one iota. However, I agree that we have to look forward and take the Post Office forward.

I mentioned that there might or might not be charges in the future, but too many people have been charged already. This whole Horizon scandal is a result of people being sent to prison, people being traumatised and people—kids, men and women—having their lives destroyed because people knew there was something happening at the Post Office.

I sit on the Business and Trade Committee, and the chief executive of the Post Office has been to the House a couple of times. I must be honest: he shows no remorse whatsoever. He believes that, because he was not there at the time, that is right. This individual’s wage is, I think, about £344,000 a year. I asked him, “Why are you getting a bonus in excess of £145,000 in addition to your salary? What makes you so special?” He could not answer. That is at a time when people have suffered so greatly and the Post Office and the Government are reluctant even now to address many people who have suffered as a consequence of this scandal.

I will come on shortly to the question of who has been missed in the compensation. There are three packages, and I have had a chat with the Minister—I am going to call him my hon. Friend, and why not?—about this very issue. I have three heartbreaking examples, and my understanding is that it will be very difficult for these individuals to claim any compensation whatsoever.

The culture has not changed; there has always been a serious cultural problem in the Post Office, which obviously came to the fore with the abuse of power blatantly displayed during the Horizon scandal. As I mentioned before, the management structure, the governance and the culture largely remain unreformed. We have people in post offices now suffering greatly because of low wages. They are not getting the wages from the Post Office to make ends meet. Those people are mainly in newsagents and Spar shops and so on. That is wrong when, as I mentioned before, at the same time Post Office executives are being awarded bonuses of tens of thousands—if not hundreds of thousands—of pounds. That has to be looked at.

It has been suggested, as the Minister will be aware, that a lot of the bonuses that have been paid are for progress on the Horizon scandal. How can anybody get a bonus for that? Is a bonus not supposed to be for additional production or good work? How can the chief executive get a bonus of hundreds of thousands of pounds while this is happening? Who do we blame for that? We have to look at how these remuneration packages are settled and who benefits. We cannot have people getting hundreds of thousands of pounds in one hand and bonuses of 10 times what ordinary sub-postmasters or sub-postmistresses, or postal workers, are getting in the other. It is just not correct. Bonuses should not be paid for failure, and that is what is happening here.