Fujitsu Under Pressure to Contribute to Horizon IT Scandal Compensation

The boss of Fujitsu’s UK branch will face renewed criticism from MPs next month as pressure mounts on the Japanese software company to fork out hundreds of millions of pounds as part of the huge compensation bill for the Horizon IT scandal.

Upcoming Hearing

Paul Patterson, director of Fujitsu Services, will be questioned by the House of Commons Business and Trade Committee on January 6 about his discussions with the government about a larger financial contribution. Mr. Patterson last appeared before the committee almost two years ago.

Background of the Scandal

Fujitsu, which supplied the flawed Horizon system that led to hundreds of subpostmasters being wrongfully convicted of fraud and theft, has repeatedly acknowledged its obligation to bear some of the financial costs of compensating victims. The conclusion of Sir Wyn Williams’ investigation into the scandal is likely to pave the way for the company and the government to reach a final agreement on the size of its contribution.

Company Statement

A Fujitsu spokesman said: "We remain committed to cooperating fully with the investigation as Sir Wyn prepares his final report and we are in discussions with the government regarding Fujitsu’s contribution to compensation."

Contract Extension

Next month’s hearing will take place shortly after Fujitsu and the post office agreed a further extension to their Horizon supply contract. The state-owned company is due to pay Fujitsu a further £41 million for use of the Horizon system from April next year to March 31, 2027. The Post Office is expected to switch to an alternative provider upon expiration of this contract.

History of the Horizon System

Horizon was originally introduced in 1999, meaning it was likely in use for almost 30 years before it was officially abandoned by the postal service. A spokesman for the Economic and Trade Committee declined to comment.