The first ever redress scheme for victims of the Post Office Capture IT scandal has been launched.
It marks the government officially acknowledging the damage caused to former sub postmasters who used faulty accounting software in the 1990s.
Capture was used in branches between 1992 and 2000, before the infamous Horizon scandal, which saw hundreds wrongfully convicted.
The Capture Redress Scheme will provide payments of up to £300,000, and more in “exceptional” cases, to former postmasters who suffered financial losses.
The scheme, announced by the Department for Business and Trade in June, aims to deliver long-awaited justice for those affected.
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How will the payouts work?
It follows an independent investigation in September 2024 by forensic accountants Kroll Associates, which found there was a “reasonable likelihood” that the Capture system created accounting shortfalls.
Similar to the Horizon scandal, postmasters made up shortfalls out of their own pocket – some losing their jobs.
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Under the Capture scheme, eligible claimants will receive an immediate interim payment of £10,000.
An independent panel will then assess final awards through a banding model ranging from £10,000 to £300,000, with higher payments in exceptional circumstances.
The redress scheme will initially be tested with 150 claimants before a full rollout to ensure the process is “fair and accessible”, according to the government.
All awards will be tax-exempt and disregarded for means-tested benefits.
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‘Livelihoods destroyed’
Post Office Minister Blair McDougall said the launch marks a significant milestone for victims who have waited decades 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 said.
“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 can’t make up for everything they have lost, but today we begin restoring some of the dignity so cruelly taken away by this scandal.”
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Read more from Sky News:
Compensation ‘worse than original injustice’, victims’ commissioner says
Capture IT system conviction referred to Court of Appeal for first time
The scheme is not open to postmasters with a criminal conviction related to Capture – those cases are currently going through the Criminal Cases Review Commission (CCRC).
If convictions are later found to be unsafe, ministers said appropriate redress will be provided.
Applications to the Capture Redress Scheme can be made via GOV.UK.
