Laura Sharman 21 January 2016

Councils paid out £100m in compensation claims over past two years

Councils paid out more than £100m in compensation claims over the past two years, according to new research from the TaxPayers' Alliance (TPA).

The figures show that between 2013 and 2015, local authorities paid out 42,000 compensations claims at a cost of £104m.

According to the investigation, nearly £8m was paid out because of damage caused by potholes.

Jonathan Isaby, chief executive of the TPA, said: ‘Of course, some of the payments made by councils will be entirely justified, as the most serious accidents can change lives. But in many cases, local authorities and their staff will be failing to live up to the standards required of them by law or paying out on frivolous claims too easily.

‘Councils must do everything they can to ensure their mistakes and negligence don't result in such large bills for hard-pressed taxpayers - and take appropriate action against staff whose actions result in costly claims. We must also root out those who are playing the system with spurious demands for taxpayers' cash.’

However, council leaders said the amount paid out in compensation was less than 0.05% of all local authorities’ expenditure over the same time period.

A Local Government Association spokesperson said: ‘Compensation cases which do arise should be assessed by individual councils on a case by case basis and it is right that compensation is made available to people with genuine cases.

‘Councils are determined to crack down on spurious cases which are a waste of the public purse and threaten councils' ability to protect the services people value the most.’

Andrew Jepp, director of public sector at Zurich Municipal, said: 'Whilst this data does show that local councils have paid out large sums of money over the past two years, in our experience it is not the case that local authorities are a soft touch.

'Robust action is generally taken to defend against spurious or fraudulent claims. We in conjunction with our local authority customers have been at the forefront of pursuing legal action against fraudsters to send a tough message that fraud will not be tolerated."'

SIGN UP
For your free daily news bulletin
Highways jobs

Support Services Officer Bereavement

Durham County Council
£26,403 to £28,598 p.a. pro rata (Grade 5)
We are looking to appoint a Support Services Officer – Bereavement to join our Business Support team, providing a vital, customer-focused service to r Durham
Recuriter: Durham County Council

Cleaner

Durham County Council
£24,796 (Pro Rata)
10.5 hours per week - Either 6.00am-8.06am or 3
Recuriter: Durham County Council

Recovery Worker

Durham County Council
Grade 7 - £30,024 – £33,699 per annum (Pay award pending).
Do you want to make a real difference to the lives of people experiencing hoarding and self-neglect behaviours?   As an Agile Recovery Worker within o Durham
Recuriter: Durham County Council

Research and Insight Officer

Durham County Council
£35,412 - £39,152 (pro rata) pay award pending
Temporary 15 hour post for 6 months   WHAT IS INVOLVED? The Research and Insight officer will play a key story telling and sense making role across th Spennymoor
Recuriter: Durham County Council

Principal Public Protection Officer

Middlesbrough Council
£45,091 - £50,269
We have an exciting role on offer as a Principal Public Protection Officer in our new Empty Properties team in the Public Protection service. Middlesbrough, North Yorkshire
Recuriter: Middlesbrough Council
Linkedin Banner