UK Post Office to spend over £100M on IT upgrades

As much as one quarter of the GBP450 mil set aside by the govt for rural post offices could be invested in IT, according to the Dept of Trade and Industry (DTI). The govt body said it would invest GBP150 mil over three years, including around GBP79 mil for ‘front line systems’ in the first years, and GBP74 mil in both the second and third years. A Post Office source said that up to half of this expenditure could go towards IT systems. The National Federation of SubPostmasters, which will decide how to spend the money, said it is too early to speak about specific allocations. The Post Office claims it costs it GBP100 mil/y to maintain its Horizon automation system to which 40k terminals are connected, including 12k at rural branches.