Lambeth Council pays out more than £8.4m in housing disrepair claims as London payouts top £31 million

Reports of disrepair in Lambeth soar by 154% over five years as legal experts warn of ‘systemic failure’ in social housing maintenance

Lambeth Council has paid out more than £8.4 million in housing disrepair claims over the last five years, according to new data obtained by JF Law, positioning it as one of the highest-paying boroughs in the capital.

Secured via Freedom of Information requests, the figures reveal that the local authority paid out a total of £8,432,289 in damages related to council housing disrepair between 2020/21 and 2024/25.

This staggering sum contributes to a collective payout of more than £31 million across London councils during the same period.

The data highlights a sharp upward trend in the volume of claims received by Lambeth Council, which rose from 459 in 2020/21 to a total of 1,164 in 2024/25 – representing a significant 153.59% increase.

Similarly, the annual cost of these payouts has skyrocketed, jumping from £1,067,719 in 2020/21 to an eye-popping £2,263,553 in 2024/25, an increase of 112%.

The borough’s largest individual payout during this period was the considerable sum of £45,444, which was issued in 2022/23.

Claims surge across the capital

The situation in Lambeth reflects a broader trend across the capital. Twenty-two of London’s 32 borough councils responded to the FOI request, with five of those councils confirming that they did not own any housing stock.

However, the data provided by the other 17 councils revealed that £31,839,666 has been paid out for housing disrepair since 2020, covering more than 16,300 claims – and with 10 councils yet to respond, the true figure could be much higher.

Lambeth joins Hackney, Waltham Forest, and Barking and Dagenham as the boroughs with the heaviest payouts related to social housing disrepair.

Hackney Council recorded the highest total payout in the city, exceeding an alarming £9.5m over five years, while Waltham Forest paid out more than £4m. Meanwhile, Barking and Dagenham’s payout topped £3.3m.

In terms of claim numbers, Greenwich has seen reports soared by more than 300%, with claims rising from 93 in 2020/21 to 379 in 2024/25.

‘Systemic failure’, says expert

Beverley Faulkner, a senior lawyer at JF Law, said:

“Living in a home that is damaged, mouldy, or structurally unsafe is not just a matter of discomfort, it’s a health hazard.

The sheer volume of claims and the amounts being paid out in compensation highlight a systemic failure to maintain social housing to a habitable standard.

“It’s important that we take action when these houses are left to fall into disrepair – a health risk is the last thing you should have to deal with in the place you call home, and we should all expect more from the systems designed to protect that.”

Know your legal rights

As of October 2025, social landlords have to comply with new requirements as per Awaab’s Law, part of the Social Housing (Regulation) Act 2023, introduced following the 2020 death of two-year-old Awaab Ishak as the result of a respiratory illness, caused by prolonged exposure to black mould in his social housing flat in Rochdale, Greater Manchester.

The law requires landlords to investigate damp and mould hazards within 10 working days, and to provide tenants with a written summary of investigation findings within 3 working days.

Hazards must also be made safe within specific deadlines, while local authorities and housing associations must maintain detailed records of all social housing inspections and actions to provide compliance. Further requirements are set to be introduced as part of the law during 2026 and 2027.