The ex-chief executive of the former national lottery operator Camelot has been named as the new chair of the Post Office.
The business secretary, Kemi Badenoch, appointed Nigel Railton to the role on Wednesday, replacing Henry Staunton, who was sacked in January.
The government said he had been chosen for the role, which he will hold on an interim basis for an initial period of 12 months, because of his experience in “transforming organisations”.
Railton will oversee the company as it expects to provide millions of pounds in compensation to victims of the Horizon IT scandal while also managing the daily revelations from the public inquiry into the scandal.
Between 1999 and 2015, more than 900 post office operators were wrongly prosecuted because of faults with the Horizon computer system, which was developed by the Japanese technology company Fujitsu.
Railton’s appointment was first reported by Sky News. The government has said he will take up the role as soon as possible, subject to the completion of pre-appointment checks.
The new chair spent seven years as Camelot boss before stepping down in 2023, the year after the Gambling Commission decided to award the licence to run the UK national lottery to the rival Allwyn UK.
Railton started his career working in the signal box at Crewe railway station before notching up 12 years with British Rail. He went on to work in the automotive industry and at the toolmaker Black & Decker.
He also chairs Argentex, a currency management service provider, and is a director at the Social Mobility Foundation.
Railton once said his business idol was Adam Crozier, who was the chief executive of Royal Mail between 2003 and 2010, before the Post Office became independent of the organisation. Crozier gave evidence to the Horizon inquiry last month.
After being sacked, Staunton was involved in a war of words with Badenoch after an interview with the Sunday Times in which he claimed he had been asked by the government to stall compensation payments to victims of the Horizon scandal. Badenoch rebutted the allegation, describing the comments as a “disgraceful representation” of the conversation they had.
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Badenoch said: “Nigel has the necessary experience to lead an organisation as large and complex as the Post Office and I’m confident he will work well with the leadership team to implement the change that is required in the organisation.”
Railton said: “The Post Office plays a vital role in communities across the country. It is a national institution and its success in the years ahead matters to everyone.
“This is an incredibly challenging time for the Post Office as it works to address historic failures while also striving to transform its business.”
Separately on Wednesday, Emma Gilthorpe began her new job as the chief executive of Royal Mail, which demerged from the Post Office in 2012. Gilthorpe, who has been the chief operating officer at Heathrow since 2020, takes over at the struggling postal firm as its parent company faces takeover interest from its largest shareholder, the Czech tycoon Daniel Křetínský.