Noticed the lady has a vfs sticker on her passport...on the outside back cover. Can she peel this off? Is it needed? stupid question I know but she really wants to know...

If it's bar code then yes she can peel it off, it's just used to track it through the system.

Presume to ensure that the applicant gets back the right passport and files, must be a good system otherwise we would have heard, I hate to think of all the problems if they lost someones passport by giving it to the wrong person.