WITN11470100
WITN11470100
Witness Name: Jonathan Reynolds
Statement No.: WITN11470100
Dated: 26'" September 2024
POST OFFICE HORIZON IT INQUIRY
FIRST WITNESS STATEMENT OF RT. HON JONATHAN REYNOLDS MP
I, Jonathan Reynolds, will say as follows.
INTRODUCTION
1. 1 am the Labour and Co-operative Member of Parliament for Stalybridge and
Hyde and currently serve as Secretary of State for Business and Trade and the
President of the Board of Trade.
2. I make this witness statement to assist the Post Office Horizon IT Inquiry (the
“Inquiry”) with the matters set out in its Rule 9 request dated 23 July 2024 (the
“Request’). I have prepared it with the support of the Government Legal
Department and counsel. I have depended on others putting documents before
me to help me prepare this statement.
3. I have been closely following the Post Office Horizon IT scandal during my time
as the Shadow Secretary of State and now as Secretary of State. Since taking
Office, it has been a priority area for my Junior Ministers and me.
PROFESSIONAL BACKGROUND AND CURRENT ROLE
Career Background
Page 1 of 10
WITN11470100
WITN11470100
After graduating in 2001 with a degree in Politics and Modern History from the
University of Manchester, I worked at Stockport Council as an assistant to the
Labour Councillors.
From 2007, I studied to obtain legal qualifications at BPP Law School in
Manchester and commenced my training to become a solicitor with Addleshaw
Goddard LLP in Manchester in 2009.
At the local elections in 2007, I was also elected to Tameside Council to
represent my local area, the Longdendale ward.
I was elected to Parliament at the May 2010 General Election, and have served
as the Member of Parliament for Stalybridge and Hyde ever since. I gave up my
legal career upon my election to Parliament.
I held the following posts in Opposition:
(i) I Opposition Assistant Whip (Commons) (8 October 2010 - 7 October 2011);
(ii) Parliamentary Private Secretary to the Leader of the Opposition, Ed
Miliband (7 Oct 2011 — 7 Oct 2013);
(iii) Shadow Minister (Energy and Climate Change) (7 October 2013 - 18
September 2015);
(iv) Shadow Minister (Transport) (18 September 2015 - 6 January 2016);
(v) Shadow Economic Secretary (Treasury) (6 October 2016 - 6 April 2020);
(vi) Shadow Secretary of State for Work and Pensions (6 April 2020 - 29
November 2021);
(vii) Shadow Secretary of State for Business and Industrial Strategy (29
November 2021 - 4 September 2023); and
(viii) Shadow Secretary of State for Business and Trade (4 September 2023 - 30
May 2024).
I can claim no experience of working in government or with civil servants prior to
my appointment as Secretary of State on 4 July 2024.
Page 2 of 10
WITN11470100
WITN11470100
Current role and responsibilities
10. As Secretary of State and President of the Board of Trade, I have overall
responsibility for the Department for Business and Trade. The relevant GOV.UK
page titled ‘Ministerial Role Secretary of State for Business and Trade’
(RLIT0000349) records that my responsibilities include:
e Overall responsibility for delivery and strategy
e Cross-government business engagement
e Public appointments
e FTAnegotiations, mandates, and decisions
e WTO, G7, and G20 ministerial meetings
e Overseas network.
11. Postal Affairs is part of my overall portfolio, and is one of my priorities as the
Secretary of State.
12. Ata ministerial level, Postal Affairs is the responsibility of Gareth Thomas, the
Parliamentary Under-Secretary of State for Services, Small Business and
Exports. I have a strong working relationship with Gareth and he and officials
regularly update me on work in this area in team meetings.
RESPONSE TO THE POST OFFICE HORIZON SCANDAL
13. Something has gone horribly wrong within the Post Office and I am grateful to
the Inquiry for its work to investigate the causes and identify lessons for the
future. I will consider the Inquiry’s report with great interest, and intend to use its
recommendations — together with other expert advice — to inform my decisions
about what changes need to be made in future.
Page 3 of 10
WITN11470100
WITN11470100
14. I highlight two particularly important issues of concern to me and my department:
driving cultural change in the Post Office and rebalancing its relationship with
sub-postmasters; and redress for the Post Office’s victims.
Briefings on relevant issues
15. I have received various briefings and advice on Post Office matters, including
submissions on long-term Post Office strategy, governance reviews, and
updates on progress towards providing redress to sub-postmasters. I refer to
several of these briefings below.
16. I had a positive working relationship with the then Postal Minister Kevin
Hollinrake when I was in opposition. Kevin Hollinrake, in his former role as the
Postal Affairs Minister, briefed me periodically on Horizon-related matters. He
would brief me especially regularly in relation to the, then, Post Office (Horizon
System) Offences Bill. I am aware that Gareth Thomas has met with Mr
Hollinrake to discuss issues relating to the Post Office following the formation of
the new Government. Since my appointment as Secretary of State, I have not
had any discussions with Kemi Badenoch on matters being investigated by the
Inquiry.
Changing the Post Office
17. It is clear that the Post Office’s corporate culture is at the root of this scandal,
and I want to make sure the system works for sub-postmasters. I am supportive
of a reform agenda which seeks to turn this ambition into reality.
18. Since coming into office, I have discussed these issues with Sir Alan Bates
(Ministerial Submission - Call with Sir Alan Bates (BEIS0000884)) and held
deep-dive sessions on Post Office governance. My introductory briefing as
Secretary State covered both governance and redress (Post Office Introductory
Page 4 of 10
WITN11470100
WITN11470100
Briefing July 2024 (BEIS0000890)) . I held a call with the new Chair of the Post
Office, Nigel Railton, on 9 July 2024, during which we discussed several issues
relating to the Post Office’s culture and governance and its relationship with sub-
postmasters, remediation, and replacement for Horizon (Readout of meeting
between Secretary of State and Nigel Railton dated 9 July 2024 (BEIS0000887)).
I followed this up with a letter dated 4 September 2024 in which I set out my
strategic priorities for the Post Office, identifying three main objectives:
addressing historic failings and speed up redress; cultural transformation within
the Post Office; and enabling the future commercial success of the Post Office,
with a focus on “ensuring the sustainability of postmasters’ incomes” amongst
other objectives (Letter from Secretary of State to Nigel Railton dated 4
September 2024 (BEIS0000891)).
19. As the Inquiry would expect, departmental officials, supported by external expert
advisors, are working to identify options for the future of the Post Office.
20. I am aware that when giving evidence to the Inquiry two of my predecessors as
Secretary of State and several former postal affairs ministers have made
suggestions (or, in the Chancellor of the Duchy of Lancaster's case, “floated an
idea”) for structural reform of the Post Office, changes in its governance and
oversight arrangements, and a rebalancing of its relationship with sub-
postmasters. I look forward to receiving the Inquiry's considered views about
these and other possible ways to make the Post Office work better — in the
interests of communities across the United Kingdom, and of the sub-postmasters
who serve them.
Redress
21. Redress for the Post Office's victims is one of my top priorities as the Secretary
of State. Indeed, one of the first speeches I delivered as the Shadow Secretary
of State was about the need to provide redress to the sub-postmasters (Jonathan
Page 5 of 10
(22:
23.
24.
25.
26.
WITN11470100
WITN11470100
Reynolds oral statement to House of Commons 15 December 2021
(RLIT0000347)).
One of my first meetings when I became the Secretary of State was with Sir Alan
Bates. I also met with the Rt Hon Kevan Jones (now Lord Beamish) in mid-July
2024 (Readout of meeting between Secretary of State and the Rt Hon Kevan
Jones (now Lord Beamish) dated 23 July 2024 (BEIS0000886)) and re-
appointed the Horizon Compensation Advisory Board to continue to provide its
valuable contributions towards expediting redress (Email from Secretary of
State’s Private Secretary dated 10 July 2024 RE: [Commission] Reappointment
of the Advisory Board and call with Kevan Jones (BEIS0000883)). And, as
explained above, my introductory briefing as Secretary State covered both
governance and redress (BEISO000890).
On 22 July 2024, I agreed to a proposal to publish Horizon redress data on
GOV.UK (Email from Secretary of State’s Private Secretary dated 22 July 2024
RE: Post Office Horizon Redress Data- July 2024 (BEIS0000885)) , thereby
allowing public scrutiny of progress.
On 30 July 2024, I agreed to the introduction of fixed sum awards under the
Horizon Shortfall Scheme (“HSS”) (Email from Secretary of State’s Private
Secretary dated 30 July 2024 RE: Ministerial Submission - Horizon Shortfall
Scheme - Fixed Sum Awards - OFFICIAL SENSITIVE (BEIS0000888)).
On the same day, 30 July 2024, I announced in Parliament the launch of the
Horizon Compensation Redress Scheme (Secretary of State oral statement to
House of Commons on 30 July 2024 (RLIT0000365).
On 12 August 2024, I approved the creation of an independent HSS appeals
mechanism, in line with the recommendations of the Horizon Compensation
Page 6 of 10
WITN11470100
WITN11470100
Advisory Board, and asked to be kept closely informed as to progress of claims
(Email from Secretary of State’s Private Secretary dated 12 August 2024 RE:
Ministerial Submission - Horizon Shortfall Scheme - HSS Appeals Mechanism -
OFFICIAL SENSITIVE (BEIS0000889)). On 9 September 2024, I made a
statement to Parliament in which I announced that we had agreed to create that
new appeals system, which be administered by my Department independently of
the Post Office (Secretary of State oral statement to House of Commons 9
September 2024 (RLIT0000348)). In doing so, I emphasised that “the new
Government will do everything in our power to deliver justice for postmasters, to
bring them closure and to ensure that such a national tragedy is never allowed
to happen again”.
SECTION 3: CONCLUSIONS
27. I would also like to mention that Paul Scully, as former Postal Minister, made a
significant attempt to move the dial, and that the now Shadow Secretary of State,
Kevin Hollinrake moved it on much further. I have every confidence that our new
Postal Minister, Gareth Thomas, will continue to build on these foundations to
deliver justice for postmasters as quickly as possible.
28. When I was the Shadow Secretary of State, I worked very closely with Kevin
Hollinrake, who was the Postal Minister leading the work on behalf of the
Department — and we are able to have frank discussions in Parliament with each
other. This allowed us to ensure Parliament could move quickly on this and enact
the Post Office (Horizon System) Offences Act 2024 before the General Election
last year, which has significantly moved the dial in terms of providing redress. I
am pleased to say that I played a significant role in ensuring the passing of the
Act through the House. I would very much like this good faith working relationship
to continue — the Horizon scandal is widely recognised as an issue upon which
MPs should work together on a cross-party basis, delivering justice for the sub-
postmasters.
Page 7 of 10
WITN11470100
WITN11470100
29. Iam grateful to the Inquiry for its work and look forward to receiving its report and
recommendations. I would be very happy to provide the Inquiry with whatever
further assistance I am able to give.
Statement of Truth
I believe the content of this statement to be true.
Signed: 2
Page 8 of 10
WITN11470100
WITN11470100
Index to First Witness Statement of Jonathan Reynolds
No.
URN
Document Description
Control Number
RLITO000349
Gov.uk webpage — ‘Ministerial Role
Secretary of State for Business and
Trade’
RLIT0000349
BEIS0000884
Ministerial Submission - Call with Sir
Alan Bates
BEISO000884
BEIS0000890
Post Office Introductory Briefing July
2024
BEISO000890 —
BEIS0000887
Readout of meeting between Secretary
of State and Nigel Railton dated 9 July
2024
BEISO000887
5
BEIS0000891
Letter from Secretary of State to Nigel
Railton dated 4 September 2024
BEISO000891
RLIT0000347
Jonathan Reynolds oral statement to
House of Commons 15 December
2021
RLIT0000347
BEIS0000886
Readout of meeting between Secretary
of State and the Rt Hon Kevan Jones
(now Lord Beamish) dated 23 July
2024
BEISO000886
BEIS0000883
Email from Secretary of State’s Private
Secretary dated 10 July 2024 RE:
[Commission] Reappointment of the
Advisory Board and call with Kevan
Jones
BEIS0000883
BEIS0000885
Email from Secretary of State’s Private
Secretary dated 22 July 2024 RE: Post
Office Horizon Redress Data- July
2024
BEISO000885
10.
RLITO000365
Secretary of State oral statement to
House of Commons on 30 July 2024
RLITO000365
11.
BEIS0000888
Email from Secretary of State's Private
Secretary dated 30 July 2024 RE:
Ministerial Submission - Horizon
Shortfall Scheme - Fixed Sum Awards
- OFFICIAL SENSITIVE
BEISO000888
Az.
BEIS0000889
Email from Secretary of State's Private
Secretary dated 12 August 2024 RE:
Ministerial Submission - Horizon
Shortfall Scheme - HSS Appeals
Mechanism - OFFICIAL SENSITIVE
BEIS0000889
Page 9 of 10
WITN11470100
WITN11470100
13.
RLITO000348
Secretary of State oral statement to
House of Commons 9 September 2024
RLITO000348
Page 10 of 10