Horizon: Sub-postmaster Convictions

Lord Craig of Radley Excerpts

Thursday 11th June 2020 Lords Chamber

[Lord Callanan]

My noble friend makes a good point, but powers to bring a private prosecution are not specific to the Post Office. The Post Office has the same rights as any other person, whether an individual or a company, to bring a private prosecution. I can tell her that the Post Office is conducting no current private prosecutions and it has provided assurances to Ministers that it has no plans to indulge in any further prosecutions.

[Lord Craig of Radley (CB) [V]]

My Lords, depending on court appeals, the Post Office may be liable to pay further compensation. Does it have insurance against computer system failure? Is it obligatory for businesses to take out insurance against any serious computer malfunction? If not, does this Horizon scandal suggest that it is required?

[Lord Callanan]

The Post Office operates as an independent business. As noble Lords would expect, it has all the necessary insurance in place for a company of this kind. It is not, however, obligatory for businesses, including the Post Office, to take out insurance against computer malfunctions or liabilities to third parties that could result from such malfunctions. It is therefore unlikely that any of the Post Office’s insurances would provide cover for any compensation payments the business may be required to partake in.