- By Harrison Jones
- BBC News
January 28, 2024, 11:16 GMT
Updated 19 minutes ago
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Henry Staunton had been Chairman of the Post Office since December 2022
The post office chairman was sacked because it “just wasn’t working”, says the business secretary.
Kemi Badenoch told the BBC that Henry Staunton's departure was about more than just the Horizon scandal, following a public outcry over the wrongful convictions of sub-postmasters.
Ms Badenoch said she fired him due to concerns about postal administration and “the whole business model”.
Labor called on the government to explain its decision in more detail.
Mr Staunton left the position on Saturday. The BBC has contacted him for comment.
The Post said Mr Staunton was asked to leave by Ms Badenoch.
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Watch: What was the layoff at the post office about? – asked Badenoch
Ms Badenoch, appearing with Laura Kuenssberg on Sunday, said it was very difficult for someone to resign from a position.
But she continued: “Given all the difficulties the Post Office is facing, I decided that it's not just about Horizon, but the whole business model, how we make it work, that we need someone who can lead a board that is capable of dealing with these things effectively.”
Explaining that one of her priorities was the leadership of the Post Office, she said: “It was important here that I decided that we needed a new chair of the organization. It just didn’t work.”
Ms Badenoch added that there were “various differences of opinion” within the board “and when I looked at that I thought a change of personnel was needed”.
She declined to rule out further staff changes when she appeared on Sky's Sunday Morning with Trevor Phillips, citing “difficulties” and other board members.
On Sunday she, along with Laura Kuenssberg, refused to set a deadline for full compensation to those affected – echoing the position of Prime Minister Rishi Sunak. But Ms Badenoch promised “we could not move any faster than we already have”.
“Setting a deadline is not the priority,” she said.
“The key is to get the money out, get fair compensation and sort out the running of the post office.”
The Post Office is reeling from the fallout from the Horizon scandal, described as the biggest miscarriage of justice in UK history.
More than 700 subpostmasters and subpostmasters were prosecuted between 1999 and 2015 after flawed Horizon accounting software made it appear as if money was missing from their businesses.
Many of those affected were financially ruined.
Mr Staunton was appointed chairman of the Post Office in December 2022.
As part of the position, which was advertised with a salary of up to £150,000, he had been tasked with leading the board and working to right the wrongs in the Horizon dispute.
He has previously served on the boards of companies ranging from ITV to WH Smith.
A Post Office spokesman said: “On Saturday afternoon the Post Office was informed that the Business and Trade Secretary, Henry Staunton, had asked to resign as Chairman of the Post Office.”
“The government has informed us that it will soon appoint an interim leader.”
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Watch: Labor urges government to remove post office for 'certain reasons'
Appearing on Sunday with Laura Kuenssberg, Labour's shadow business secretary described the government's decision to call on Mr Staunton to take action as “quite unusual”.
“The government needs to tell us why they made this decision seemingly yesterday,” said Jonathan Reynolds.
“The person who is leaving wasn’t actually part of the scandal, so there must be specific reasons for not having trust in that person.”
Senior officials from the postal service and the technology company Fujitsu, which developed the Horizon software, are currently being questioned at a public inquiry into the incidents.
Conservative MP James Arbuthnot, who has campaigned on behalf of the sub-postmasters, told the BBC he was surprised Mr Staunton had left the post.
He said the departure was an opportunity to change the culture and leadership of the organization.
Some of his colleagues accused the postal administration of being too slow in paying compensation and too quick in paying bonuses to senior employees.
They hope the appointment of a new leader will herald the start of wider changes.
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