Post Office scandal victims urged to report excessive legal fees

The Solicitors Regulation Authority has invited victims of the Post Office scandal to come forward if they believe they are being overcharged by solicitors.

The regulator responded after the Horizon Compensation Advisory Board (HCAB) flagged concerns that some former sub-postmasters were unsure how and why they were being charged certain fees.

The board, which includes the former MP Lord Arbuthnot, who helped to uncover the scandal, said in a letter this month to the SRA that matters have been raised by individuals which require investigation. No lawyers were named in the letter.

Last week, SRA chief executive Paul Philip responded to the board, confirming that a dedicated referral contact had been established for sub-postmasters to raise issues they are having with lawyers over costs.

Philip said: ‘We would be keen to hear from sub postmasters who have experienced issues around fees charged for legal services, for example in respect of the compensation scheme or other representation relating to the Horizon Post Office scandal, particularly if they have concerns about or do not understand what it is that they are being asked to pay for.’

Around 700 people were wrongly convicted following prosecutions brought by the Post Office based on evidence from the flawed Horizon IT system. Many more were pursued through the civil courts for amounts the Post Office said were missing. A public inquiry has been held over the last three years to establish what caused the scandal and will publish the first part of its report next week.

Victims and their families are entitled to claim compensation through various schemes, depending on whether they were part of the Bates litigation where around 550 claimants received damages through a settlement with Post Office. As of February this year, £136m had been paid through the Group Litigation Order scheme and £182m through the Horizon Convictions Redress Scheme.

However, hundreds of claimants are still waiting for their cases to be resolved, and in some of these they are represented by lawyers.

The HCAB said that in the vast majority of cases under the compensation scheme, most lawyers are not charging their own clients. But on occasion, charging has occurred and practices have been raised with the board with the potential for ‘problematic’ fees to arise.

Lawyers advising on the claims do not work for free: the government has agreed to pay the ‘reasonable costs’ of applicants to the Horizon Shortfall Scheme Appeals and urges legal advisers not to seek fees direct from clients.

In its guidance, the government ‘strongly advises postmasters not to engage any lawyer who asks for payment, either during the claims process or when compensation is paid’.

This article is now closed for comment.