Horizon IT System: Compensation

Summary

To ask the Secretary of State for Business and Trade, which Horizon Shortfall Scheme payments are 1) exempt from tax and 2) subject to tax, and whether these taxation rules apply to all historical payments already paid out.

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Timeline

1. 9 January 2026

   Written question

   To ask the Secretary of State for Business and Trade, which Horizon Shortfall Scheme payments are 1) exempt from tax and 2) subject to tax, and whether these taxation rules apply to all historical payments already paid out.

   Source: Commons

2. 15 January 2026

   Answer

   The Horizon Shortfall Scheme (HSS) is designed to put postmasters back into the position they would have been in ‘but for’ Horizon, and no one will pay more tax than at the time of the shortfalls. All fully assessed HSS awards are paid gross and taxable i...

   Source: Written answer

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• · Department for Business and Trade · Answering body

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