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The boss of the Post Office wrote a letter to ministers saying he would stand by the prosecution of more than 350 of the sub-postmasters convicted in the Horizon scandal.

Chief executive Nick Read sent the letter to Justice Secretary Alex Chalk last month, informing him that the Post Office would be “bound to oppose” appeals against at least 369 prosecutions.

The document was dated 9 January – the day before the government announced plans for a new law to exonerate and compensate sub-postmasters who had been wrongly convicted in the Horizon scandal.

Mr Read’s letter was published by the Post Office on Thursday, as the government confirmed it was pressing ahead with the legislation to automatically quash convictions by July.

In response, the government said it would introduce “safeguards” to avoid “anyone who was rightly convicted” attempting to “take advantage” of the compensation scheme.

“Innocent post-masters have suffered an intolerable and unprecedented miscarriage of justice at the hands of the Post Office, which is why we are introducing legislation to swiftly exonerate all those convicted as a result of the Horizon scandal,” a government spokesperson said.

In the letter, Mr Read wrote that the Post Office had conducted an external legal review into prosecutions linked to the Horizon IT system between 1999 and 2015.

Nick Read, the Post Office chief
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Nick Read, chief executive of the Post Office. Pic: PA

The period saw hundreds of sub-postmasters prosecuted because of discrepancies in the IT system, in what has been called the biggest miscarriage of justice in UK history.

Mr Read wrote that the review found that the Post Office was “bound” to oppose appeals against 369 of the roughly 700 prosecutions made in the period of the Horizon scandal because the evidence relied on in these cases was unrelated to the faulty system.

He wrote that a further 11 cases were under review, while there was insufficient evidence to take a decision either way in 132 cases.

“This clearly raises acute political, judicial, and communications challenges against the very significant public and parliamentary pressure for some form of acceleration or by-passing of the normal appeals process,” he wrote.

Attached to Mr Read’s letter was a note by Nick Vamos, the head of business crime at Peters & Peters, the solicitors for the Post Office.

In the note, Mr Vamos wrote that it was “highly likely that the vast majority of people who have not yet appealed were, in fact, guilty as charged and were safely convicted”.

The publication of the letters comes after allegations from the former chairman of the Post Office, Henry Staunton, who claimed there was “no real movement” on payouts to sub-postmasters until after the airing of ITV drama Mr Bates Vs The Post Office earlier this year.

British Justice Secretary Alex Chalk leaves Number 10 Downing Street after a Cabinet meeting in London, Britain, December 5, 2023. REUTERS/Hollie Adams
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Justice Secretary Alex Chalk. Pic: Reuters

Read more from Sky News:
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The claim was denied by the government and sparked a high-profile row between Mr Staunton and Business Secretary Kemi Badenoch.

While making the allegations, Mr Staunton revealed the existence of Mr Read’s letter.

The Post Office published the letter and the note on Thursday with a comment which said they were sent to “explain the work that the Post Office had requested its legal counsel, Peters & Peters, undertake to proactively identify, on the papers available, any convictions that could be unsafe”.

“This was primarily to offer the government any support that might assist them as they consider relevant issues in advance of passing legislation, without any value judgement on what the correct course of action might be,” it said in a statement, alongside publishing the letters.

The Post Office also said the note provided by Peters & Peters was “not solicited” by them and was sent to “express the personal views of its author”.

“(The) Post Office was in no way seeking to persuade the government against mass exoneration,” it said.

“We are fully supportive of any steps taken by government to speed up the exoneration of those with wrongful convictions and to provide redress to victims, with the information having been provided to inform that consideration.”

Henry Staunton
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Henry Staunton

On Thursday, the government announced it aimed to get the exonerations done “as soon as possible before the summer recess” on 23 July.

Writing to the House of Commons, Post Office minister Kevin Hollinrake said: “As noted in my statement on 10 January, the legislation is likely to exonerate a number of people who were, in fact, guilty of a crime.

“The government accepts that this is a price worth paying in order to ensure that many innocent people are exonerated.”

In an attempt to ensure people are truthful in signing up for compensation linked to convictions being overturned, they will have to sign a disclaimer confirming their innocence.

“Any person found to have signed such a statement falsely in order to gain compensation may be guilty of fraud,” Mr Hollinrake added.

An independent public statutory inquiry is ongoing to establish a clear account of the implementation and failings of the Horizon IT system at the Post Office over its lifetime.

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Fashion brand LK Bennett in race for Christmas saviour

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Fashion brand LK Bennett in race for Christmas saviour

The owner of the fashion brand LK Bennett is this weekend racing to find a saviour amid concerns that it could be heading for collapse for the second time in six years.

Sky News has learnt that the clothing chain, which was founded by Linda Bennett in 1990, is working with advisers at Alvarez & Marsal (A&M) on an accelerated sale process.

Industry sources said on Saturday that A&M had begun sounding out potential buyers and investors in the last few days.

At one stage, LK Bennett was among the most recognisable brands on the high street, expanding to 200 branded outlets in the UK and overseas markets including China, Russia and the US.

In its home market it now trades from just nine standalone stores, with a further 13 listed as concessions on its website.

It was unclear whether a sale of the loss-making brand was likely or whether LK Bennett’s existing backers might be prepared to inject more funding into the business.

Contingency plans for an insolvency are frequently drawn up by advisers drafted in to run accelerated sale processes.

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The brand is owned by Byland UK, a company established in 2019 for the purpose of rescuing LK Bennett from a previous brush with insolvency.

Byland UK was formed by Rebecca Feng, who ran LK Bennett’s Chinese franchises.

At the time of that deal, Ms Feng said: “Under our plan, the business will continue to operate out of the UK, looking to maintain the long-standing and undoubted heritage of the brand.

“This will be achieved through a combination of working with quality British design, and the business’s existing supply chain.”

Accounts for LK Bennett Fashion for the period ended January 27, 2024 show the company made a post-tax loss of £3.5m on turnover of £42.1m.

The figures showed a steep loss in sales from £48.8m in 2023.

According to the accounts, LK Bennett paid a dividend of £229,000 “at the start of the year when performance was doing well”.

“Given the decline in revenue, the directors do not recommend the payment of any further dividends.”

Ms Bennett founded the eponymous chain by opening a store in Wimbledon, southwest London, in 1990, and promised to “bring a bit of Bond Street to the high street”.

Her eye for design earned her the nickname ‘queen of the kitten heel’ and saw her products worn by the Princess of Wales and Theresa May, the former prime minister.

In 2008, Ms Bennett sold the business for an estimated £100m to a consortium led by the private equity firm Phoenix Equity Partners.

She retained a stake, and then bought back the remaining equity in 2017.

The company’s administration in 2019 resulted in the closure of 15 stores.

It was unclear how many people are now employed by LK Bennett.

LK Bennett has been contacted for comment, while A&M declined to comment.

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Retail rues tough Black Friday amid consumer caution ahead of Christmas

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Retail rues tough Black Friday amid consumer caution ahead of Christmas

Black Friday sales do not appear to have provided much cheer for retailers amid continued consumer caution, according to official figures.

The Office for National Statistics (ONS) reported a 0.1% decline in sales volumes during November, compared to the previous month, when the data is adjusted for seasonal effects due to the pre-Christmas shopping bonanza falling in December last year.

Economists polled by the Reuters news agency had expected growth of 0.4%. The dip was worse when the effects of fuel sales were excluded.

Rolling three-month data showed positive sales volumes were only propped up by strength in September.

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ONS senior statistician Hannah Finselbach said: “Retail continued to grow in the three months to November, helped by a strong performance from clothing and tech shops.

“This year November’s Black Friday discounts did not boost sales as much as in some recent years, meaning that once we adjust for usual seasonality, our headline figures fell a little on the month.

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“Meanwhile, our separate household survey showed that although some people said they were planning to do more shopping… this Black Friday than last, almost twice as many said they were planning to do less.”


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The data was released against a backdrop of widespread consumer and business caution in the run-up to the budget on 26 November – held just two days before Black Friday – although promotional activity was already well underway before Rachel Reeves’s speech.

That period was dominated by on-off signals over income tax hikes and black holes in the public finances, but the budget itself largely backdated many of the most painful measures towards the end of the parliament.

While the ONS data does little to boost retailers’ expectations for the Christmas season, there was a crumb of comfort to take from a closely-watched survey released just beforehand.

GfK’s consumer confidence index nudged up to its joint-highest level this year – though it remained deep in negative territory.


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The biggest upwards contribution came from a willingness to make major purchases, despite perceptions for personal finances weighing amid continuing cost-of-living pressures in the economy.

Neil Bellamy, GfK’s consumer insights director, said: “Consumers resemble a family on a festive winter hike, crossing a boggy field – plodding along stoically, getting stuck in the mud and hoping that easier conditions are not far off.”

We have had better economic news since the survey was completed.


Has the Bank of England really vanquished inflation?

It was revealed this week that a much larger decline in the rate of inflation, to 3.2% from 3.6%, had allowed the Bank of England to cut interest rates to 3.75%.

It promises a boost to spending power as borrowing costs come down further, with wage growth still rising above that pace for price growth.

It is now hoped that the end of the budget circus will spark some life into the economy following two consecutive monthly contractions for output and a surge in the unemployment rate.

Much of the increase has been attributed to the retail and hospitality sectors reacting to sharp rises in employment costs under the Labour government.

Consumer spending accounts for around 60% of the UK economy.

Richard Carter, head of fixed interest research at Quilter Cheviot, said of the outlook: “Markets do not believe growth is coming to the UK anytime soon.

“Indeed, the UK is likely to slip into recession if the latest GDP figures are anything to go by, and there is little sign of positive momentum being generated.”

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WH Smith faces City watchdog investigation over accounting woes

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WH Smith faces City watchdog investigation over accounting woes

WH Smith is being investigated by the City watchdog after the company revealed accounting failures in its US operations.

The Financial Conduct Authority (FCA) said: “The investigation concerns potential breaches of UK Listing Principles and Rules and Disclosure and Transparency Rules in relation to the matters announced by WH Smith PLC on 19 November 2025.”

On that day WH Smith revealed that Carl Cowling, its chief executive of six years who had presided over the sale of the company’s UK high street business earlier in the year, had resigned after an independent review into an overstatement of earnings.

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Experts from Deloitte found WH Smith’s North America division – its key area for growth – had been recognising supplier income incorrectly.

Profit forecasts were revised sharply lower as a result – its second such move during a year that has seen shares tumble by more than 40%.

The company said on Friday that it expected profitability next year to be static on 2025 financial year levels – reported at £108m – as it reviews some of its North American businesses in the wake of the accounting problems.

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Its annual results were delayed twice as it got to grips with the issues.

WH Smith plans to recover overpaid bonuses from its former senior executives following previous profit restatements.

The company’s North American review includes its InMotion business, which sells electronic and digital accessories primarily in airports.

Interim boss Andrew Harrison told investors: “The Board and I are acutely aware that we have much to do to rebuild confidence in WH Smith and deliver stronger returns as we move forward.

The stock was a further 6% down at the market open but that decline later petered out.

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