Postmasters are being urged to take immediate action on any outstanding claims, including those yet to be appealed, linked to the Post Office Horizon scandal, as legal experts warn time is running out for operators to secure compensation under the Horizon Shortfall Scheme (HSS).
A partner at Yorkshire-based law firm Schofield Sweeney, Stephen Lewis, who has represented almost 100 victims, said there were still a significant number of postmasters who have not made a claim, or received fair compensation under the scheme.
It was established by the Post Office in 2020 and aimed to compensate postmasters who believed they were affected by shortfalls that relate to the previous versions of Horizon. The scheme does not deal with issues arising with the current version of Horizon.
Under the HSS, postmasters could apply for a £75,000 fixed sum award or have their application fully assessed by the scheme – but many who did the online assessment without legal support ended up with far lower compensation levels, Lewis explained.
After the Department for Business & Trade took over the running of the scheme, the Horizon Shortfall Scheme Appeals process was announced in 2024 to enable those who believed their financial settlement was too low to have their claim reassessed.
Claimants who wish to appeal against their assessed HSS compensation must register by 9 January 2026. Those who have not yet applied will need to do so by 31 January 2026, when the scheme closes.
Lewis, who has more than 25 years of experience in dispute resolution, has helped to overturn convictions and secured several millions of pounds in compensation for many postmasters who were victims of the scandal, according to Schofield Sweeney.
“The Post Office Horizon scandal has had a devastating impact on the livelihoods of so many postmasters and their families,” he said. “People have not only lost income and employment, but also faced issues in relation to mental health, impact on their families and in some cases have taken their own lives.
“It is hard to put an exact number on it, but we believe up to 90% of people who initially lodged claims through HSS did so without legal support, because the form was positioned as ‘user-friendly’. As a result, many received minimal compensation, perhaps only covering the ‘shortfall’ that had originally been recorded. These settlements did not take into account the full impact, which is why the HSSA is so important.
“Everyone who received a settlement under HSS received a letter in October detailing the appeal process, but they were given only three months to act, and we believe many have not yet actioned it.
“We urge anyone who feels they have not been fairly compensated and wishes to appeal, or anyone who has not yet started a claim, to seek legal advice before time runs out. For the Horizon Shortfall Scheme appeals, this will be at no cost to them, as the government has agreed to pay the legal costs of postmasters under the scheme, if they use one of the approved law firms, including Schofield Sweeney, on the Gov.uk website.
“The Post Office Horizon scandal is one of the biggest injustices of recent times and is likely to be in the news for years to come, with the next stage of the inquiry findings expected to be published next year and the potential for criminal cases. It is imperative that victims are fairly compensated for everything they and their families went through.”
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