Council ends standoff with Ombudsman over recommended financial remedies in homelessness cases

In November 2024 the local authority declined to implement an Ombudsman recommendation that it pay a domestic abuse victim £1,300 after she and her family were forced to live in bed and breakfast accommodation for 13 weeks longer than the maximum six-week period.

The council said at the time that it would only be partially acting on the Ombudsman’s recommendations as the recommended sanctions were based on legislation that was more than 20 years old and did not take account of what the local authority said was a national housing crisis.

The dispute between the Ombudsman, Amerdeep Clarke, and the council saw the LGSCO write to the Secretary of State for Housing, Communities and Local Government, Steve Reed, highlighting her concerns at the local authority's refusal to pay.

The second case concerned a homeless family who spent nearly 10 months too long in bed and breakfast accommodation.

On this occasion Leicester told the LGSCO that it would apologise to the family concerned and pay them the recommended £500 for the uncertainty and distress caused.

However, it added that it would not make a further £3,525 symbolic payment recommended by the Ombudsman.

This was on the basis that the lack of suitable interim and temporary accommodation was caused by national and international factors, not fault in the actions of the council. It also felt that paying the remedy would set a precedent that would be repeated in other cases.

When the Ombudsman informed Leicester that it would issue a further report on this case, as it has done today (12 March), Leicester agreed to pay the outstanding remedies.

Amerdeep Clarke, Local Government and Social Care Ombudsman, said: "I welcome the council’s change of position, which finally recognises the trauma these families have experienced, and I hope this may give them some closure to the issues.

“The combined total of £5,275 is a modest acknowledgement of what the families experienced. As we have previously stated, all our recommendations are based on the particular injustices found in each case – we don’t punish councils or set precedents for other investigations.”

A Leicester City Council spokesman said “We stand by our position that a national homelessness crisis and 14 years of Government cuts have significantly impacted councils’ ability to meet requirements based on legislation that is more than 20 years old.

“Following clarification from the Ombudsman that these payments will not set a wider precedent affecting council finances, we have accepted its recommendations in these two cases.

“We continue to invest in affordable housing in Leicester, with more than £400 million committed since 2019 to deliver over 1,000 homes, and a further 1,500 to be provided by 2027.” 

Harry Rodd