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Rishi Sunak has refused to repeat Kemi Badenoch’s claim that the former Post Office boss was lying when he said he was told to delay compensation to Horizon scandal victims.

Sir Keir Starmer asked the prime minister if he is prepared to personally repeat the allegation made by his business secretary regarding Henry Staunton.

Mr Staunton, who was sacked last month, has claimed he was told to stall pay-outs to sub-postmasters due to financial concerns ahead of the general election – something Ms Badenoch has strongly denied.

Mr Sunak did not answer the Labour leader’s question directly, simply saying Mr Staunton was fired because of “serious concerns” about his conduct.

He added: “We have taken up steps to ensure victims of the Horizon scandal receive compensation as swiftly as possible… that remains our priority.”

Sir Keir, speaking at PMQs, pressed him on Ms Badenoch’s statement on Monday that Mr Staunton was “at no point told to delay compensation payments by either an official or a minister from any government department; at no point was it suggested that a delay would be a benefit to the Treasury.”

Asked if he will investigate if that statement is correct, the prime minister repeated that Mr Staunton was asked to step down “after serious concerns were raised”.

More on Post Office Scandal

The exchange comes after an unearthed memo from Mr Staunton which raises questions about Ms Badenoch’s claims.

It has emerged that Mr Staunton wrote a note on 5 January last year which said that Sarah Munby, the then permanent secretary at the business department, had warned him during a meeting that day not to “rip off the band aid” in terms of government finances in the run up to the election.

Henry Staunton
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Henry Staunton

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According to the note, seen by Sky News, Mr Staunton said that the Post Office board had identified a financial shortfall of £160m as of September 2022 and that “there was a likelihood of a significant reduction in post offices” if more government funding was not made available.

He wrote: “Sarah was sympathetic to all of the above. She understood the ‘huge commercial challenge’ and the ‘seriousness’ of the financial position. She described ‘all the options as unattractive’. However, ‘politicians do not necessarily like to confront reality’. This particularly applied when there was no obvious ‘route to profitability’.

“She said we needed to know that in the run-up to the election there was no appetite to ‘rip off the band aid’. ‘Now was not the time for dealing with long-term issues.’ We needed a plan to ‘hobble’ up to the election.”

Kemi Badenoch MP denies she is in an 'evil plotters' Whatsapp group
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Kemi Badenoch

Labour MP Liam Byrne, who is chair of parliament’s Business Committee, said the note is “a go slow order, without a doubt”. He said his committee will attempt to “flush out the truth” on Tuesday, when Mr Staunton will appear before MPs.

The note has sparked demands from the Lib Dems for Mr Sunak’s ethics adviser to investigate whether Ms Badenoch misled parliament with her accusation that Mr Staunton was lying.

Labour said there needs to be a cabinet office investigation to establish the veracity of Mr Staunton’s claims.

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Row over disputed memo

Earlier, a government source was dismissive of the memo and suggested Mr Staunton was either “confused or deliberately mixing up” long-standing issues around Post Office finances with the payouts to wrongfully convicted sub-postmasters.

They added: “Even if we trust the veracity of a memo he wrote himself, and there’s not much to suggest we can, given the false accusations he made about the Secretary of State in his original interview, it’s time for Henry Staunton to admit his interview on Sunday was a misrepresentation of his conversations with ministers and officials and to apologise to the government and the postmasters.”

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The story behind the victims

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Did the government delay Post Office compensation?

Was ousted boss asked to delay compensation payments?

In his original interview with the Sunday Times, Mr Staunton claimed that he was ordered by a senior civil servant to stall spending on compensation for Horizon victims to allow the government to “limp into the election”.

He said it “was not an anti-postmaster thing, it was just straight financials”.

He also claimed that when he was sacked he was told someone had to “take the rap” for the Horizon scandal, which came under renewed public scrutiny following the ITV drama series Mr Bates Vs The Post Office.

Mr Staunton has stood by his claims in the face of government denials, insisting that there was “no real movement” on the payouts until the airing of the ITV drama.

A post office sign hangs above a shop
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Pic: Reuters

On Monday, Ms Badenoch said the claims are “completely false” and accused Mr Staunton of seeking “revenge” after he was sacked.

She also claimed he was being investigated over bullying allegations before he was dismissed from his short-lived post – something he has denied.

He has said he decided to go public “out of a desire to ensure that the public were fully aware of the facts surrounding the multiple failures that have led to postmasters in this country being badly let down”.

The Horizon scandal saw hundreds of sub-postmasters prosecuted because of discrepancies in the Fujitsu-developed IT system between 1999 and 2015, in what has been called the biggest miscarriage of justice in UK history.

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‘Shameful’ that black boys in London more likely to die than white boys, says Met Police chief

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Justice system 'frustrating', Met Police chief says - as he admits London's 'shameful' racism challenge

It is “shameful” that black boys growing up in London are “far more likely” to die than white boys, Metropolitan Police chief Sir Mark Rowley has told Sky News.

In a wide-ranging interview with Sunday Morning with Trevor Phillips, the commissioner said that relations with minority communities are “difficult for us”, while also speaking about the state of the justice system and the size of the police force.

Sir Mark, who came out of retirement to become head of the UK’s largest police force in 2022, said: “We can’t pretend otherwise that we’ve got a history between policing and black communities where policing has got a lot wrong.

“And we get a lot more right today, but we do still make mistakes. That’s not in doubt. I’m being as relentless in that as it can be.”

He said the “vast majority” of the force are “good people”.

However, he added: “But that legacy, combined with the tragedy that some of this crime falls most heavily in black communities, that creates a real problem because the legacy creates concern.”

Sir Mark, who also leads the UK’s counter-terrorism policing, said black boys growing up in London “are far more likely to be dead by the time they’re 18” than white boys.

“That’s, I think, shameful for the city,” he admitted.

“The challenge for us is, as we reach in to tackle those issues, that confrontation that comes from that reaching in, whether it’s stop and search on the streets or the sort of operations you seek.

“The danger is that’s landing in an environment with less trust.

“And that makes it even harder. But the people who win out of that [are] all of the criminals.”

Met Police Commissioner Sir Mark Rowley said racism is still an issue in the force
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Met Police Commissioner Sir Mark Rowley

The commissioner added: “I’m so determined to find a way to get past this because if policing in black communities can find a way to confront these issues, together we can give black boys growing up in London equal life chances to white boys, which is not what we’re seeing at the moment.

“And it’s not simply about policing, is it?”

Sir Mark said: “I think black boys are several times more likely to be excluded from school, for example, than white boys.

“And there are multiple issues layered on top of each other that feed into disproportionality.”

‘We’re stretched, but there’s hope and determination’

Sir Mark said the Met is a “stretched service” but people who call 999 can expect an officer to attend.

“If you are in the middle of the crisis and something awful is happening and you dial 999, officers will get there really quickly,” Sir Mark said.

“I don’t pretend we’re not a stretched service.

“We are smaller than I think we ought to be, but I don’t want to give a sort of message of a lack of hope or a lack of determination.”

“I’ve seen the mayor and the home secretary fighting hard for police resourcing,” he added.

“It’s not what I’d want it to be, but it’s better than it might be without their efforts.”

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How police tracked and chased suspected phone thief

‘Close to broken’ justice system ‘frustrating’ and ‘stressed’

Sir Mark said the criminal justice system was “close to broken” and can be “frustrating” for others.

“The thing that is frustrating is that the system – and no system can be perfect – but when the system hasn’t managed to turn that person’s life around and get them on the straight and narrow, and it just becomes a revolving door,” he said.

“When that happens, of course that’s frustrating for officers.

“So the more successful prisons and probation can be in terms of getting people onto a law-abiding life from the path they’re on, the better.

“But that is a real challenge. I mean, we’re talking just after Sir Brian Leveson put his report out about the close-to-broken criminal justice system.

“And it’s absolutely vital that those repairs and reforms that he’s talking about happen really quickly, because the system is now so stressed.”

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Leveson explains plans to fix justice system

Challenge to reform the Met

The Met chief’s comments come two years after an official report found the force is institutionally racist, misogynistic and homophobic.

Baroness Casey was commissioned in 2021 to look into the Met Police after serving police officer Wayne Couzens abducted, raped and murdered Sarah Everard.

She pinned the primary blame for the Met’s culture on its past leadership and found stop and search and the use of force against black people was excessive.

At the time, Sir Mark, who had been commissioner for six months when the report was published, said he would not use the labels of institutionally racist, institutionally misogynistic and institutionally homophobic, which Baroness Casey insisted the Met deserved.

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However, London Mayor Sadiq Khan, who helped hire Sir Mark – and could fire him – made it clear the commissioner agreed with Baroness Casey’s verdict.

A few months after the report, Sir Mark launched a two-year £366m plan to overhaul the Met, including increased emphasis on neighbourhood policing to rebuild public trust and plans to recruit 500 more community support officers and an extra 565 people to work with teams investigating domestic violence, sexual offences and child sexual abuse and exploitation.

Watch the full interview on Sunday Morning with Trevor Phillips from 8.30am on Sunday.

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Unite votes to suspend Angela Rayner over Birmingham bin strike

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Unite votes to suspend Angela Rayner over Birmingham bin strike

Labour’s largest union donor, Unite, has voted to suspend Deputy Prime Minister Angela Rayner over her role in the Birmingham bin strike row.

Members of the trade union, one of the UK’s largest, also “overwhelmingly” voted to “re-examine its relationship” with Labour over the issue.

They said Ms Rayner, who is also housing, communities and local government secretary, Birmingham Council’s leader, John Cotton, and other Labour councillors had been suspended for “bringing the union into disrepute”.

There was confusion over Ms Rayner’s membership of Unite, with her office having said she was no longer a member and resigned months ago and therefore could not be suspended.

But Unite said she was registered as a member. Parliament’s latest register of interests had her down as a member in May.

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The union said an emergency motion was put to members at its policy conference in Brighton on Friday.

More on Angela Rayner

Unite is one of the Labour Party’s largest union donors, donating £414,610 in the first quarter of 2025 – the highest amount in that period by a union, company or individual.

The union condemned Birmingham’s Labour council and the government for “attacking the bin workers”.

Mountains of rubbish have been piling up in the city since January after workers first went on strike over changes to their pay, with all-out strike action starting in March. An agreement has still not been made.

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Rat catcher tackling Birmingham’s bins problem

Ms Rayner and the councillors had their membership suspended for “effectively firing and rehiring the workers, who are striking over pay cuts of up to £8,000”, the union added.

‘Missing in action’

General secretary Sharon Graham told Sky News on Saturday morning: “Angela Rayner, who has the power to solve this dispute, has been missing in action, has not been involved, is refusing to come to the table.”

She had earlier said: “Unite is crystal clear, it will call out bad employers regardless of the colour of their rosette.

“Angela Rayner has had every opportunity to intervene and resolve this dispute but has instead backed a rogue council that has peddled lies and smeared its workers fighting huge pay cuts.

“The disgraceful actions of the government and a so-called Labour council, is essentially fire and rehire and makes a joke of the Employment Relations Act promises.

“People up and down the country are asking whose side is the Labour government on and coming up with the answer not workers.”

SN pics from 10/04/25 Tyseley Lane, Tyseley, Birmingham showing some rubbish piling up because of bin strikes
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Piles of rubbish built up around Birmingham because of the strike over pay

Sir Keir Starmer’s spokesman said the government’s “priority is and always has been the residents of Birmingham”.

He said the decision by Unite workers to go on strike had “caused disruption” to the city.

“We’ve worked to clean up streets and remain in close contact with the council […] as we support its recovery,” he added.

A total of 800 Unite delegates voted on the motion.

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Dozens of MPs call for UK government to recognise Palestine as state

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Dozens of MPs call for UK government to recognise Palestine as state

Nearly 60 Labour MPs have called on David Lammy and the Foreign Office to immediately recognise Palestine as a state.

A mix of centrist and left-wing MPs, including some committee chairs, wrote to the foreign secretary this week to say “by not recognising [Palestine] as a state, we undermine our own policy of a two-state solution and set an expectation that the status quo can continue and see the effective erasure and annexation of Palestinian territory”.

The 59 MPs suggest the government pursue five different measures to prevent the Israeli government from carrying out its Rafah plan, adding that they believed Gaza was being “ethnically cleansed” – a claim vehemently denied by Israel.

The letter was organised by Labour Friends of Palestine and the Middle East group.

Palestinians react as they ask for food from a charity kitchen, amid a hunger crisis, in Gaza City, July 7, 2025. REUTERS/Ebrahim Hajjaj
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Palestinians ask for food from a charity kitchen in Gaza on 7 July. Pic: Reuters

It states that the Israeli plan, which would see the “population transfer to the southern tip of Gaza in preparation for deportation outside the strip”, is an accurate description, but that they believe a clearer way to describe it is the “ethnic cleansing of Gaza”.

Israeli officials have said they want to separate the civilian population from Hamas, which still controls parts of Gaza and holds dozens of hostages abducted in the October 7 attack that triggered the war 21 months ago.

Emmanuel Macron discussed recognising Palestine as a state at a joint news conference with Sir Keir Starmer on Thursday – the same day the letter was signed.

The French president said: “Today, working together in order to recognise the state of Palestine and to initiate this political momentum is the only path to peace.”

While France has not yet recognised a Palestinian state yet, Norway, Ireland and Spain coordinated their recognition last year.

The letter demands ministers take five different measures to:

• Recognise the state of Palestine
• Continue support for the UN Agency for Palestinian Refugees (UNRWA)
• Secure the release of hostages
• Press for the full and unhindered resumption of humanitarian aid
• Fully review and place restrictions on trade with and financial support of illegal Israeli settlements in the West Bank

The government says it is already providing funding for the UNRWA and working to secure the release of hostages held by Hamas, but immediate recognition of Palestinian statehood will be a much more controversial move.

Sky News understands this is the second time MPs have formally called on the government to immediately recognise the state of Palestine, with previous letters signed by some parliamentary aides and even junior ministers.

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Ministers have indicated their plan to recognise Palestine would be “at a time that is most conducive to the peace process” without further clarity of when that might be.

They have also indicated that it would not be suitable to speculate about future sanctions, as this could reduce their impact.

A Foreign Office spokesperson said: “Since day one, this government has been clear that we need to see an immediate ceasefire, the release of all hostages cruelly detained by Hamas, better protection of civilians, much-needed food aid, medicines, shelter and other supplies immediately being allowed to enter Gaza, and a path to long-term peace and stability.

“The situation on the ground in Gaza is horrendous – for the hostages and for Palestinians – and we urgently want to see a deal done, to end the suffering on all sides.

“We are committed to recognising a Palestinian state and to doing so when will have most impact in support of a peace process. We continue to provide lifesaving aid to supporting Palestinians in Gaza and the West Bank, and to work closely in support of the Palestinian Authority.”

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