Paula Vennells’ Testimony at Horizon IT Inquiry Under Intense Scrutiny

Former Post Office CEO Paula Vennells has conceded that her expectation for a mediation programme with subpostmasters was “possibly” to limit compensation payouts. This admission came during her second day of giving evidence at the Horizon IT inquiry, which is investigating miscarriages of justice linked to the flawed Horizon IT system used by the Post Office.

Vennells faced intense questioning regarding an email she sent in August 2013, which indicated that the aim of the mediation process was to “avoid or minimise compensation.” When questioned about the email, Vennells acknowledged that the mediation scheme, initially intended to assist those wrongfully prosecuted, was never designed to offer substantial compensation. She admitted that this was her understanding at the time, although she denied intentionally seeking to offer minimal compensation to the subpostmasters.

The former Post Office boss expressed that her understanding of the mediation scheme evolved over time. Despite this, Vennells accepted that her comments in the email could have been perceived as dismissive of the victims’ experiences, referring to the compensation as a “token payment.”

Further scrutiny also focused on Vennells’ handling of past prosecutions. It was revealed that, in 2013, she followed advice from a communications director to avoid revisiting previous cases involving subpostmasters, fearing the public backlash and media scrutiny. Vennells later admitted that this advice was “grossly improper,” and acknowledged that a review of the cases might have prevented years of suffering for many affected individuals.

Vennells, who has apologised multiple times during the inquiry, claimed she did not realise the full scale of the miscarriages of justice at the time. Over 700 subpostmasters were wrongly convicted between 1999 and 2015 due to errors in the Horizon IT system, which falsely showed discrepancies in branch accounts. Although the government has pledged compensation, many subpostmasters are still awaiting financial restitution.

The Horizon IT inquiry continues to probe the Post Office’s decisions and its handling of the wrongful convictions, with many calling for accountability and a full review of all related cases.

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