New data analysed by the RAC reveals that pothole-related compensation claims made to local councils have increased by 91% between 2021 and 2024.
Figures obtained through a Freedom of Information request to 207 councils across England, Scotland and Wales—covering a combined 246,510 miles of local roads—show that 177 councils responded, with reported claims rising from 27,731 in 2021 to 53,015 in 2024.
Derbyshire County Council recorded the sharpest increase, with claims rising from 224 in 2021 to 3,307 in 2024—an increase of over 3,000. Other significant increases were seen in Glasgow City Council (from 1,140 to 2,794) and Oxfordshire County Council (from 488 to 1,941).
While claims rose compared to 2021, the number of compensation requests actually declined slightly year-on-year, falling from 56,655 in 2023 to 53,015 in 2024, a drop of 6%.
Settlements and Payouts
Despite the volume of claims, the majority were not paid out. Of the 53,015 claims submitted in 2024, only 13,832 (26%) were settled by 173 councils, with an estimated total payout of £3.56 million, averaging £390 per claim.
Some councils paid more per claim than others. In 2024:
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Merton Borough Council had the highest average payout, at £2,267 per claim across five claims, totalling approximately £11,335.
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Derbyshire paid out an estimated £605,235 for 2,355 claims, at an average of £257 per claim.
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Glasgow had the highest payout in Scotland, averaging £253 per claim across 611 claims (totaling about £154,724).
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In Wales, Wrexham paid the most per claim at £2,026, settling 38 claims for a total of £76,991.
A recent RAC survey found that 39% of drivers said they would struggle to pay an unexpected car repair bill of £500, which is less than the typical cost of repairs from pothole damage.
Claim Refusals
The data also showed that 172 of the 177 councils rejected over 90% of claims in 2024. Councils including Gloucestershire, Worcestershire, Medway, Carmarthenshire, and Telford turned down 99% of all claims received.
Only Bridgend Council reported paying out 100% of claims submitted (52 total).
Claims Relative to Road Network
In terms of claim volume relative to road length:
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Glasgow City received 2,794 claims in 2024—more than double its 1,203-mile network.
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Staffordshire, Derbyshire, Edinburgh, and Bury each received approximately one claim per mile of road.
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Surrey, which had the highest claims-per-mile rate in 2023, recorded 1,513 claims across 3,415 miles in 2024 (one claim every two miles).
Policy Response
RAC head of policy Simon Williams described the three-year rise in claims as indicative of long-term underinvestment in local road maintenance. He noted that despite some positive steps, such as the Government’s £1.6 billion investment in England’s road maintenance and new multi-year funding settlements, the overall outlook remains mixed.
Williams expressed hope that with enhanced funding and new requirements for preventative maintenance, local authorities may be better positioned to reduce pothole formation and compensation claims in the future.
About Freeman & Co.
Freeman & Co. are a specialist firm of road traffic and criminal defence solicitors based in Manchester but with nationwide coverage.
Freeman & Co. specialise in a wide variety of road traffic cases, ranging from drink driving, speeding and mobile phone offences, to name but a few.
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