Thursday, November 21, 2024

Post Office to Make Decision on Horizon by April as Fujitsu Board Weighs Final Contract Extension

The Post Office is set to make a critical choice soon about its technology future. Andy Nice, the chief transformation officer, said they’ll decide whether to stick with their own software to replace the controversial Horizon system or opt for an off-the-shelf solution by April.

Right now, they’re waiting on the Fujitsu board to approve a four-year extension to the existing Horizon contract. Nice stressed that they need this extension “in any scenario.” He just joined the Post Office in late August, and since October, his team paused the New Branch IT project after discussions with the board and the Department for Business and Trade.

“We’ve been weighing the pros and cons of in-house versus off-the-shelf for about six weeks,” he explained. “We want clarity on our tech direction before the new financial year starts in April 2025. We’re pushing for a decision before April, and I think the government expects that as well.”

Nice shared that collaboration with the government is getting better, which is crucial for the Post Office’s future. He also mentioned a significant issue: the ongoing relationship with Fujitsu, which has been under scrutiny due to its role in the Horizon scandal. Their contract is up in March.

Earlier this week, Fujitsu’s leader, Paul Patterson, revealed during a public inquiry that the Post Office had requested a four-year contract extension right when he was giving evidence. Nice confirmed this was true. “We’ve been discussing the details of an extension with Fujitsu for a while now,” he stated. “Realistically, we can’t move away from Fujitsu just yet, and Paul knows that too. We need an extension in any scenario.”

He added that various timelines have been floated around during discussions over the past six months as different options emerged, but they believe they’re now close to agreeing on the right timeframe. “Right now, we’re fine-tuning the details for the four years Paul mentioned during the inquiry. This is about ensuring Fujitsu hands over Horizon and all the necessary services, whether we bring them in-house or find another suitable partner. This hasn’t been finalized by Fujitsu’s board, but that is where discussions stand.”

The Horizon scandal first came to light in 2009, involving numerous subpostmasters who faced serious issues due to the problematic accounting software. This scandal has been labeled the most significant miscarriage of justice in British history.