Post Office campaigner Alan Bates has agreed a multi-million pound compensation figure from the Post Office, sources close to the deal have confirmed to the BBC.

The payout for Sir Alan comes more than 20 years after he started campaigning for justice for victims of the Horizon scandal which led a group of 555 sub-postmasters launching landmark legal action against the Post Office.

The exact sum paid to Sir Alan has not been made public and he has not responded to requests for comment.

Between 1999 and 2015, more than 900 sub-postmasters were wrongly prosecuted after the faulty Horizon IT system indicated shortfalls in Post Office branch accounts.

Hundreds more poured their own savings into their branch to make up apparent shortfalls in order to avoid prosecution.

Marriages broke down, and some families believe the stress led to serious health conditions, addiction and even premature death.

A spokesperson for the Department for Business and Trade said: “We pay tribute to Sir Alan Bates for his long record of campaigning on behalf of victims.

“We can confirm that Sir Alan’s claim has reached the end of the scheme process and been settled.”

As of September 2025, a total of £1.23bn had been awarded to more than 9,100 sub-postmasters.

Sir Alan first received an offer of redress in January 2024, which he rejected, describing it as “cruel and derisory”.

He was made another offer in May 2024 which he said was around a third of what he had requested. In May of this year, he said that he’d received a third offer for less than 50% of his original claim.

Sir Alan was part of the Group Litigation Order compensation scheme, under which claimants can either receive £75,000 or seek their own settlement.

As part of plan to claim his own settlement, Mr Bates told the BBC his lawyers had included compensation owed for his 20 years of campaigning for justice for those sub-postmasters caught up in the scandal.

The Post Office/Horizon scandal reached new heights in the public consciousness last year after Sir Alan’s campaign for justice was portrayed in the ITV drama series Mr Bates vs the Post Office.

The government adopted all but one of the recommendations of a report published following an inquiry into the scandal.

The inquiry detailed the full human impact of the scandal for the first time: the report said that more than 13 people may have taken their own lives as a result of what happened to them.

Earlier this year, Sir Alan accused the government of putting forward a “take it or leave it” offer of compensation amounting to less than half of his claim.

Many victims have previously complained about being forced to accept low offers of compensation, without the benefit of legal help.

Last month, the government announced that all victims who are claiming compensation will now be entitled to free legal advice to help them with their offers.

There are four different compensation schemes, which are aimed at different groups of victims.

Individual eligibility for compensation depends on the particular circumstances of each case.

However, the schemes have been criticised for being too slow and complicated, with many of the worst-affected victims receiving far less than their original claims.

Ofcom is facing calls for an “outright ban” on “absurd” mid-contract price hikes after the Government separately asked the regulator to revisit its rules on the practice.

The calls follow O2 unexpectedly announcing it was raising prices by £2.50 a month for existing customers.

On Monday, Technology Secretary Liz Kendall wrote an open letter to Ofcom bosses asking them to review mid-contract price rises again.

She wrote: “As we discussed when we met earlier this month, driving down inflationary costs and protecting consumers are vitally important for this government.

“As such, I welcome both the action you took in January to increase transparency on how in-contract prices are presented in new contracts, and your statement yesterday expressing disappointment with O2’s price rises.

“I strongly agree they are against the spirit of your previous changes on pricing, and all the more disappointing given the current pressures on consumers.”

She added: “Nevertheless, I believe we need to go further, faster. I am keen that we look at in-contract price rises again.”

Ofcom has been given until November 7 to respond to Ms Kendall’s letter.

Ofcom said: “We share the Government’s concern that customers who face price rises must be treated fairly by mobile providers and they are empowered to exercise their right to switch penalty-free if they didn’t agree to them upfront.

“We will respond to the Secretary of State’s specific queries shortly.”

O2 said in a statement: “We appreciate that price changes are never welcome, but we have been fully transparent with our customers about this change, writing directly to them and providing the right to exit without penalty if they wish.”

Ofcom introduced new rules in January to crack down on phone and broadband providers increasing prices in the middle of a contract without warning.

But last week, O2 announced it would be raising its monthly prices by more than originally promised.

It was able to do this because the increase was not linked to inflation, and it has given customers 30 days to leave without penalty providing they continue to pay off the cost of their device.

O2 said it has not gone against the regulation and Ofcom’s rules do not stop providers from raising prices.

The firm said: “A price increase equivalent to 8p per day is greatly outweighed by the £700 million we invest each year into our mobile network, with UK consumers benefitting from an extremely competitive market and some of the lowest prices compared to international peers.”

Alex Tofts, broadband spokesman from comparison site Broadband Genie, said: “What we’re seeing from O2 and price rises from other major providers is a direct result of crude regulation that has been poorly thought out, with its implications not given enough consideration.

“The only real way to protect customers is to outright ban these absurd mid-contract price hikes. Some providers already offer fixed prices, so why can’t those with the biggest profit margins do the same?

“We fully back the call for Ofcom to revisit these regulations. Until then, we urge all consumers to check whether they’re still in contract.

“To be fair to Ofcom, the broadband switching process has become much easier thanks to the One Touch Switch system. One-in-three households are currently free to switch, and with many providers offering competitive new-customer discounts, now could be the best opportunity to protect your budget before further price rises take effect.”