Croydon Council has been found at fault by the Local Government & Social Care Ombudsman (LGSCO) for its handling of a homelessness case, causing significant distress and injustice to a vulnerable resident and his family. The Cabinet reviewed the ombudsman's decision at its meeting on Wednesday, 15 October 2025, and agreed to implement the recommendations, including a formal apology and financial redress.

The case, detailed in the Case Y-Cabinet report, concerned Mr. Y, whose homelessness application was mishandled by the council's Housing Needs Service in July 2023. According to the report, the Council failed to properly administer Mr Y's application, leading to delays and poor communication that caused significant stress and upset to Mr Y and his sisters, Ms. X and Ms. Z.

According to the Public reports pack 15th-Oct-2025, the Cabinet agreed to:

  • Note the LGSCO findings and recommendations in respect of Mr Y.
  • Endorse the full apology given to Mr Y and agree to measures to address the issues identified.
  • Agree to actions proposed to improve complaints performance within the Housing department.
  • Adopt the report as the Executive’s formal response.

Executive Mayor Jason Perry apologised to the family, stating that the council is taking steps to learn from past mistakes and deliver better outcomes for vulnerable residents. Councillor Lynne Hale, Cabinet Member for Homes, also extended her apologies, acknowledging that the delays and administrative errors were unacceptable.

The LGSCO's investigation found several faults in the council's handling of the case:

  • Failure to properly administer Mr. Y's initial homelessness application.
  • Failure to make inquiries into Mr. Y's circumstances and consider interim accommodation.
  • Failure to respond to Ms. X's attempts to contact the council and to notify her of the application's closure.
  • Delays in issuing a decision on Mr. Y's eligibility for housing assistance and a Personalised Housing Plan (PHP). The council took until mid-September 2024 to issue its decision that it owed Mr Y the main housing duty, a delay of 101 days according to the Case Y-Cabinet report.
  • Issuance of an inaccurate and incomplete PHP.

To address these failings, the council has agreed to:

  • Issue formal apologies to Mr. Y, Ms. X, and Ms. Z.
  • Provide financial redress to Mr. Y, Ms. X, and Ms. Z to recognise the injustice. This includes payments of £2,000 to Mr. Y, £300 to Ms. X, and £400 to Ms. Z, as detailed in the Case Y-Cabinet report.
  • Reimbursement for bed and breakfast accommodation costs.
  • Backdate Mr. Y's priority date on the housing register.

Furthermore, the council has outlined several actions to prevent similar issues from recurring, including:

  • Strengthening checks on homelessness decisions.
  • Improving communication with residents.
  • Ensuring proper oversight at a senior level.
  • Providing additional training to staff.

The council will implement these actions to remedy the injustice and improve its services within three months of the date of the Case Y-Cabinet report.

The council has also met with the LGSCO to discuss the case and the steps being taken to improve services. According to the Case Y-Cabinet report, the LGSCO will maintain dialogue with the service as part of the continuous improvement process.

This case highlights the importance of Croydon Council meeting its obligations to vulnerable residents and ensuring that its housing services are delivered with fairness, dignity, and accountability. The council's commitment to implementing the LGSCO's recommendations is a step towards restoring public trust and improving outcomes for those in need.