Staff at Lambeth Council have been found fraudulently using disabled parking badges, according to a report.

More than 25 staff members at Lambeth Council have been disciplined in the last three years for misuse of disabled blue badges.

Peter Truesdale, Liberal Democrat spokesman for corporate affairs, said the fraud was "sick", adding the council needed to give greater assurances that it would not continue.

He said: "Selling blue badges for gain is really sick. Lambeth has recognised the problem but has yet to show that it can stop further thefts. "Fundamentally this is a big temptation for staff because it is a four figure sum for these things on the open market."

Lianna Etkind from Brixton based campaign group Transport for All said: "The fraudulent use of Blue Badges by 25 Lambeth council employees is deplorable.

"Blue Badge spaces are there to enable older and disabled people to participate in public life, whether that’s going to the shops, visiting the doctors or getting to work.

"Blue Badge fraud is not a victimless crime. It hurts the freedom and independence of disabled and older people."

But councillor Paul McGlone, cabinet member for finance said: "The vast majority of staff are honest and law abiding.

"Staff fraud is an abuse of the system and the public purse, we take this issue very seriously and we will always take robust and swift action against those involved."

Serious disciplinary action was taken against 12 members of council staff in 2008/9, and against three in 2007/8, for various fraud cases.

Investigations included allegations of misappropriation of cash, incorrect hours claimed, and improper extensions of contracts to consultants.