
"An east London council paid out more than half a million pounds in compensation to residents last year amid a record number of complaints. In an annual report shared at a scrutiny meeting on Monday, Hackney Council revealed its total complaints over services had doubled since the Covid-19 pandemic particularly around housing. Since January 2021, the number of Stage 1 complaints to the housing service nearly trebled to more than 3,000 by January 2025. Mayor of Hackney Caroline Woodley assured members the council was investing more money in the borough's housing stock to stem the steep increase including by replacing hundreds of faulty lifts across its estates."
"Councillors were anxious to hear what officers was planning to do about the astonishing 572,000 compensation bill. Councillor Ben Lucas said: That is money that could go into residents' services. His Labour colleague Councillor Sophie Conway, who herself lives in a social housing flat, added: If you're spending 20,000 unblocking drains, is there something you can do that prevents you paying as much? Ms Conway said her block was plagued by the same issues fuelling thousands of resident complaints, including having gone two months with no hot water. She argued that it was even costlier for the council to be paying sub-contractors to come to people's homes, only to keep returning because they weren't able to finish the works."
Hackney Council paid more than £572,000 in compensation to residents last year amid a record rise in complaints. Total complaints across services doubled since the Covid-19 pandemic, with Stage 1 housing complaints nearly trebling to over 3,000 by January 2025. The council overspent its Housing Revenue Account by £17 million in 2024/25. The mayor said the council is investing in housing stock, including replacing hundreds of faulty lifts, to reduce complaints. Officers warned complaint levels have probably peaked but will take time to fall. Councillors highlighted subcontractor inefficiencies and the cost of repeated repairs as drivers of compensation payouts.
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