Fri, 25 Apr 2025

Fri, 25 Apr 2025 Why the Post Office paid £600m to stay shackled to the faulty Horizon system

Not owning crucial code has meant it has been unable to replace the system that led to a scandal.
1. The Post Office has spent £2.5bn on contracts with Fujitsu since 1999, including over £600m on bridging or extension contracts since they started looking for new suppliers in 2012. 2. The Horizon system was flawed, and many sub-postmasters reported errors and discrepancies, which were attributed to missing money. However, investigations revealed that the shortfalls were caused by errors in the system rather than theft. 3. The Post Office accepted assurances from Fujitsu that the system was working correctly, despite being unable to directly inspect it due to the lack of Intellectual Property Rights (IPR) to the Horizon software. 4. The IPR issue is cited as a major factor in the Post Office's inability to ditch Fujitsu and replace the Horizon system. Procurement specialist Ian Makgill believes that if IBM had tried to build new software without any of the IPR from Horizon, it would have needed to "start from scratch," which would have cost the Post Office hundreds of millions of pounds. 5. The Post Office has not undertaken any prosecutions related to Horizon since 2015 and has stated that it has no intention of doing so. 6. A new IT system is planned, with a five-year plan called the "Future Technology Portfolio." The Post Office will provide the same services as before and open for an additional 18 hours a week. The article also highlights the impact on sub-postmasters, including: 1. Wrongful convictions: Hundreds of sub-postmasters were wrongly accused and convicted due to the flaws in the Horizon system. 2. Financial losses: Many sub-postmasters reported financial losses due to the errors in the system. 3. Emotional trauma: The scandal has caused significant emotional distress for many sub-postmasters, with some experiencing anxiety, depression, and even suicidal thoughts. Overall, the article highlights the need for the Post Office to take responsibility for its actions and implement a new IT system that is reliable and efficient.
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