Software causes Prison Service's £7m salary error

Payroll software problems resulted in £7m of incorrect salary payments to Prison Service staff.

In a letter to Alan Williams MP, National Audit Office (NAO) comptroller and auditor general Sir John Bourn says 'a number of weaknesses' in the payroll system provided by the Home Office Pay and Pensions Service (Hopps) caused serious difficulties for employees.

'The Prison Service has suffered from financial consequences and efficiency issues arising from poor staff morale and retention problems,' said Bourn.

At least five extra staff were recruited to help cope with the problems and £7m was paid out in advances to affected payees, £1.5m of which is still to be recovered, he said.

Williams, the deputy chairman of the Public Accounts Committee, told Computing that the problems are another ill-thought-out IT project.

'The NAO makes the point that users weren't properly consulted, there were weaknesses in the specification and management of the project, insufficient testing and so on - it is all old things we have been through time and again,' he said.

A spokesman for the Home Office says the backlog has now been cleared.