A quarter of pothole compensation claims paid out
02 March 2026
A new study by the RAC finds that pothole compensation claims made to local councils in Britain increased by 90 per cent between 2021 and 2024. However, in 2024 just 26 per cent of claims resulted in payouts.
The Local Government Association (LGA) said that ‘ever-increasing pressure’ on budgets was affecting the ability of councils to fix potholes and road damage. Meanwhile, the Department for Transport said it plans to spend £7.3 billion over the next four years on improving road surfaces.
Data analysed by the RAC indicates that 53,015 compensation claims were made to 177 local authorities in 2024. This is a slight fall from 56,655 in 2023.
The organisation estimates that the average repair bill for a family car with pothole damage beyond a puncture, such as broken shock absorbers or suspension springs, is £590.
RAC head of policy Simon Williams told the BBC, "It does seem that councils have a variety of different criteria for what they class as a pothole. Often, they have to be four centimetres deep and so many centimetres wide.
"If you hit one, it can cause a real jolt to the car and serious damage. Not just damage to vehicles, it's also a serious road safety danger, particularly on two wheels."
A Local Government Association spokesperson said "ever-increasing pressure on budgets has impacted their ability to do so as much as they'd like" regarding road repairs.
They added, "New funding for roads will help turn the tide on the gradual decline of local roads, but this will take time to shift from simply filling potholes reactively – which pothole compensation laws require – towards a more proactive, sustainable approach."
Contact us for minibus leasing
We at Marshall Minibus are proud to serve schools and charities throughout the UK.
Our minibus leasing contracts are flexible, with tailored payment plans to suit your budget and you can choose from a range of vehicles from 8-seater and 9-seater minibuses all the way through to 17-seater minibuses.
To find out more, please contact us by calling 01480 220444 or emailing info@marshall-minibus.co.uk.
Back to Blog listings