Refunds under way after £2.3m care fees blunder

Hundreds of people are getting a refund from Southend-on-Sea City Council due to a computer error in 2018

Everyone entitled to a refund after being overcharged for care costs has now been offered one, a council has said.

Southend-on-Sea City Council said a technical error resulted in 641 families overpaying £2.3m for seven years.

The council's Labour leader, Daniel Cowan, said: "It's not acceptable, which is why we've taken such rapid steps."

But Ian and Susan Simpson, who found out they were owed £7,000, told BBC Essex they feared a refund would affect their benefit payments and could have "huge consequences for a lot of people".

Southend-on-Sea City Council leader Daniel Cowan apologised and said he was "confident" the error would not happen again

The council announced it had discovered that new software set up in 2018 to calculate a person's minimum income guarantee did not factor in disability premium, enhanced disability premium and carer premium benefits.

Cowan said the refund had come out of council reserves and would have no impact on other services as it was a "manageable sum".

He said he was "confident" this was a specific error with one computer system and that no other people or services had been affected.

Dominic Simpson's parents were among those overcharged for care costs in Southend

Mr and Mrs Simpson, whose son Dominic, 33, has Down's syndrome, said the council told them they had been overcharged for his care costs, which increased from £45 to £100 a week.

"When you're the parent of a child with special needs, everything's a battle," said Mr Simpson.

"Luckily, someone at the council realised there was a mistake, otherwise we'd have been none the wiser."

However, he is worried that the refund could affect their benefit payments by pushing them over the allowed amount.

"The way they've just given the money back and said 'it's not our problem' is just horrendous," he said.

Out of 641 people who were overcharged, 586 qualified for refunds as some were in arrears.

The estates of 76 people, who died before the discovery was made, have also been contacted.

The council directed those entitled to a refund but worried about the impact on their benefits to Citizens Advice.

Marc McOwens from Southend Mencap is concerned some people's benefits might be affected as a result of the repayments

Southend Mencap, which supports people with learning disabilities, confirmed all of its affected clients had now received letters from the council.

Last week, general manager Marc McOwens said he was concerned that any refunds may jeopardise claimants' other benefits.

A council spokesperson said people would be given the option of using the overpayment to cover future fees.