Question to the Department for Business and Trade:

To ask the Secretary of State for Business and Trade, whether she has made an assessment with her Cabinet colleagues of whether the interest portion of compensation given to subpostmasters impacted by the failure of the Post Office Horizon system is liable to tax.

The Government is working with Post Office to ensure all victims of the Horizon IT scandal are returned to the financial position they should have been in had the wrongs not occurred.

Both Post Office and the Government want to see fair compensation for all victims and are looking at the tax issues raised so that if any unfairness is identified in individual cases, this can be addressed.