Post Office: Former chairman claims CEO was ‘set to resign over pay’
The scale of the dysfunction at the top of the Post Office was laid bare today in bombshell testimony from the firm’s former chairman, in which he claimed the CEO had been subject of an 80-page complaint dossier written by the HR director and had threatened to quit over his pay.
Henry Staunton gave evidence to MPs in which he said a mooted Post Office investigation into his behaviour was in fact an investigation into chief executive Nick Read.
He told the House of Commons business and trade select committee that: “Mr Read fell out with his HR director and she produced a ‘Speak Up’ document which was 80 pages thick.
“This was an investigation not into me, this was an investigation made into Nick Read.”
He added: “Within that was one paragraph there about comments I allegedly made.”
Staunton said this was in relation to “politically incorrect comments attributed to me which I strenuously deny” and insisted he was cooperating with the investigative process.
Read, Staunton claimed, had at times been close to resigning and at one point suggested to Staunton that “I’ve just had enough”.
While the HR report by the director, Staunton told the committee, noted: “Nick was going to resign because he was unhappy with his pay. She’s put this in this document.”
The claims came just hours after Read had told the same committee he had never considered resigning despite pressure over the Horizon scandal and accompanying scrutiny.
Staunton said when he was around a month into the role he spoke to then-business secretary Grant Shapps about the fact “Nick is unhappy with the salary” and told MPs the minister responded: “Don’t waste a postage stamp coming to talk to me about it.”
MPs expressed their shock at the claims, with Conservative MP Jonathan Gullis stating: “That’s blown my mind… that’s the first thing I’ve heard of Mr Read’s alleged investigation.”
He added: “You’ll accept for sub-postmasters and postmistresses across the country this is starting to look like a complete and utter shambles… people will be shocked I’m that polite.”
Gullis told Staunton: “You’ve certainly made news today… I feel there may be another drama Mr Read and Mr Staunton vs The Post Office… honestly I’m blown away.”
While Labour’s Andy McDonald commented: “This has been another unedifying process and Mr Staunton has lifted the lid on what we already knew was a dysfunctional organisation but it’s been taken to new heights today.
“All the while the people we really care about – the postmasters and postmistresses – are still no further forwards and I don’t suppose their confidence has increased one jot.”
A Business and Trade Department source said: “The department was aware that Nick Read was also under investigation, although we have not seen the 80-page report referred to by Henry Staunton and cannot attest to the content.
“The Secretary of State was clear in her statement to the House of Commons on February 19 that she lost confidence in Mr Staunton because he was blocking an investigation into his conduct, as well as his attempt to bypass the formal process to appoint a new director to the board.
“It was these issues, as well as overall concerns about his grip on the post office – demonstrated by his discredited newspaper interview and the manner in which his story has changed in the following days – that led to his sacking.
“The department will await the outcome of the investigation into Mr Read before making any further judgement.”
The Post Office was contacted for comment.