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Reading: First ever compensation scheme launched for postmasters affected by Seize IT scandal
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Michigan Post > Blog > Business > First ever compensation scheme launched for postmasters affected by Seize IT scandal
Business

First ever compensation scheme launched for postmasters affected by Seize IT scandal

By Editorial Board Published October 29, 2025 3 Min Read
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First ever compensation scheme launched for postmasters affected by Seize IT scandal

The primary ever redress scheme for victims of the Submit Workplace Seize IT scandal has been launched.

It marks the federal government formally acknowledging the harm brought about to former sub postmasters who used defective accounting software program within the Nineties.

Seize was utilized in branches between 1992 and 2000, earlier than the notorious Horizon scandal, which noticed a whole lot wrongfully convicted.

The Seize Redress Scheme will present funds of as much as £300,000, and extra in “exceptional” circumstances, to former postmasters who suffered monetary losses.

The scheme, introduced by the Division for Enterprise and Commerce in June, goals to ship long-awaited justice for these affected.

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First ever compensation scheme launched for postmasters affected by Seize IT scandal

2:48

‘All we wish is her title cleared’

How will the payouts work?

It follows an unbiased investigation in September 2024 by forensic accountants Kroll Associates, which discovered there was a “reasonable likelihood” that the Seize system created accounting shortfalls.

Much like the Horizon scandal, postmasters made up shortfalls out of their very own pocket – some dropping their jobs.

Underneath the Seize scheme, eligible claimants will obtain an instantaneous interim fee of £10,000.

An unbiased panel will then assess last awards via a banding mannequin starting from £10,000 to £300,000, with greater funds in distinctive circumstances.

The redress scheme will initially be examined with 150 claimants earlier than a full rollout to make sure the method is “fair and accessible”, in response to the federal government.

All awards can be tax-exempt and disregarded for means-tested advantages.

‘Livelihoods destroyed’

Submit Workplace Minister Blair McDougall mentioned the launch marks a big milestone for victims who’ve waited many years for redress.

“After over two decades of fighting for justice, postmasters and their families will finally receive recognition and recompense for the lives and livelihoods that Capture destroyed,” he mentioned.

“I’d like to thank all of those victims who have helped us to design this scheme, allowing us to deliver on our promise of providing redress today.

“We will not make up for all the pieces they’ve misplaced, however at this time we start restoring among the dignity so cruelly taken away by this scandal.”

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skynews dame vera baird baird 6967801

2:20

Seize conviction referral ‘a turning level’

The scheme will not be open to postmasters with a legal conviction associated to Seize – these circumstances are at present going via the Felony Circumstances Evaluation Fee (CCRC).

If convictions are later discovered to be unsafe, ministers mentioned applicable redress can be supplied.

Functions to the Seize Redress Scheme could be made through GOV.UK.

TAGGED:affectedCapturecompensationlaunchedpostmastersscandalscheme
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