Birmingham v Lee extended – and tenant claimants protected

Craig Leigh of 8PP secures key pre-allocation costs ruling in Shillito v Sheffield City Council.

Craig Leigh of 8PP has achieved a significant success on behalf of a tenant in her disrepair claim against Sheffield City Council, with the court granting an important costs order on the fast track – even though the claim is now proceeding on the small claims track.

In a detailed ex tempore judgment handed down following an allocation and directions hearing at Sheffield County Court, District Judge Childs held that the Claimant was entitled to fast track costs up to the date of vacating the property, applying the principles in Birmingham City Council v Lee [2008] CP Rep 43. This decision provides persuasive guidance on pre-allocation cost recovery where a claim for specific performance (SP) falls away prior to allocation for reasons other than as a result of works being undertaken to the index property.

The case in brief

The tenant brought a claim against her landlord, Sheffield City Council, for serious disrepair at her former home, including an active leak affecting the living room, kitchen, and bathroom. Liability for these works – worth approximately £1,500 – was admitted by the Council following receipt of a formal letter of claim in March 2024. However, repairs were not completed until January 2025, well after the Claimant had vacated the property in November 2024 due to personal circumstances.

Because the tenant had left the property and was no longer seeking SP, she agreed to allocation of the case to the small claims track. Nevertheless, she sought an order for her reasonable fast track costs up to the point of vacating – an argument strongly resisted by the Defendant.

The key legal issue

The central question before the court was whether the Claimant could recover pre-allocation fast track costs where:

  • A formal letter of claim was sent in line with the Pre-Action Protocol for Housing Conditions Claims
  • The repairs had a value exceeding £1,000
  • Liability in respect of those works was admitted
  • The claim for SP fell away only because the Claimant left the property before allocation

Relying on Birmingham City Council v Lee, Mr Leigh argued that the Defendant’s admission of liability, following the letter of claim, engaged the principles in BvL – making this a classic case where pre-allocation fast track costs should be awarded.

The judgment: BvL applies – and applies forcefully

District Judge Childs agreed, finding:

“It would place [the Claimant] in [a] position whereby because tenancy [was] ongoing, she would have returned to a property that still had a leak and had not been fixed… it would seem to me when assessing whether BvL applies… BvL applies.”

He rejected the Defendant’s submission that BvL was irrelevant because the Claimant had voluntarily left the property, and further dismissed the suggestion that access issues had delayed repairs, noting that liability had already been admitted. In his words:

“If access was an issue, the works were not done until effectively a year after the first notification. I find it hard to believe why works not done sooner.”

Ultimately, the Judge awarded fast track costs up to the point that the Claimant signed notice to quit – 18 November 2024 – and made clear that this was necessary to reflect the true nature and value of the claim before allocation.

Why this decision matters

This ruling reinforces the continued relevance of Birmingham v Lee, especially in cases where:

  • Repairs are only carried out after a formal claim is issued
  • Tenants are forced to vacate the property, even for reasons unrelated to disrepair
  • The value of the works would otherwise justify allocation to the fast track

It also emphasises that supposed access issues or tenant departure cannot be used to defeat justified cost recovery where liability has been admitted and the letter of claim has triggered remedial action.

Implications for disrepair litigation

  1. Costs fairness preserved: Claimants forced onto the SCT by changing circumstances can still recover appropriate costs incurred under the fast track, if the value and conduct support it.
  2. Protocol compliance counts: The case affirms that landlords who respond to protocol letters with admissions of liability may trigger BvL principles, even if works are completed later or the tenant has left the index property.
  3. Access arguments won’t necessarily wash: The judgment dismisses attempts to use speculative access issues to delay or avoid costs orders where liability had been admitted and the real cause of delay lay with the landlord.

Craig Leigh and the 8PP housing disrepair team

This is another example of 8PP’s leading housing disrepair Members securing vital protections for tenants in complex disrepair litigation. Craig Leigh’s advocacy and strategic application of BvL ensured a just outcome and recovery of costs that would otherwise have been irretrievable.

If you’re navigating a housing disrepair claim and facing challenges around allocation, protocol compliance, or costs, 8PP can help.

Please contact us to discuss your case via clerks@8pp.co.uk or Tel: 0151 245 9292