A man working two jobs in London was forced to give one up when a local council moved him and his family into temporary accommodation in Birmingham.
The Local Government and Social Care Ombudsman found that Merton Council, in south-west London, had not taken the man's employment status into account when making the decision to relocate him more than 100 miles away.
The local authority operates under a policy which allows it to prioritise certain households to place within its area, or within a 90-minute commute. If certain criteria, such as lack of employment, are not met and there is insufficient space locally, the council said it can place a household "wherever accommodation can be secured".
Merton said it had no record of the man's employment status when allocating temporary accommodation in the Midlands, giving him a three-hour commute to work.
But the ombudsman found that the man had provided information of his two jobs when seeking help with housing in October 2017 - information that was ignored by the council.
Ombudsman Michael King said: "The man told the council his jobs could not be done from the Midlands.
"Unfortunately he had to give up one of his jobs, and faced increased travel cost to get to the other.
"Had the council listened to the man's concerns, it is likely he would not have been placed so far away from his work."
The man has now found accommodation in the capital and has been paid £1,768 by Merton council.
This includes £1,200 for placing him in unsuitable accommodation, £418 in travel costs and a further £150 for his time and trouble in bringing the complaint.
A spokesman for Merton Council said: "We accept the findings of the Local Government and Social Care Ombudsman in this case and would like to take the opportunity to apologise to the resident concerned.
"We have complied with the ombudsman ruling in full and have reviewed our procedures in line with the recommendations made."
