Payments totalling more than £2,600 have been handed out by Peterborough City Council following three complaints.
A settlement of £1,500 and an apology were agreed following a complaint that the council had failed to follow the Special Education Needs (SEN) Code of Practice.
In addition, payments of £547 and £600 have been authorised after complaints to watchdog the Local Government Ombudsman regarding the spending of direct payments.
Specifics on the cases are unknown due to the information being made exempt by the council.
A city council spokeswoman said: “We regret the way these cases were handled and the impact this had on the people involved.
“We fully accept the findings of the Local Government Ombudsman.
“The two complaints concerning direct payments relate to when these services were provided by the primary care trust and not the council.
“Since taking control of direct payments, we have introduced clear policy and practice to make the process more transparent and easier to understand for service users, carers and staff.”
“In terms of the complaint relating to the special education needs code of practice, we have met with the couple concerned.
“Since the time of this complaint we have employed a co-ordinator whose role it is to ensure children with additional needs are assessed early so that their needs can be identified as soon as possible.”