Hundreds of housing benefit letters are still being produced each week with mistakes because of a computer fault.

But eagle-eyed staff are spotting almost all of them and preventing the mistakes from being sent out, councillors have been told.

The fault arose earlier this year and was caused by new software on Brighton and Hove Council's new housing benefits computer system.

It has still not been completely fixed and benefits staff have to check each letter.

Last night a council scrutiny board heard that 300 out of 8,000 letters produced a week were found to contain mistakes.

Members were told every effort was being made to end the problem in talks with the firm which supplied the software.

But councillors are still not satisfied and will receive another report on the problem at their meeting next month.

If it has not been resolved by then, they are likely to organise a full investigation into the fault.

Liberal Democrat councillor David Watkins said: "This is affecting some very vulnerable people. I think it should stay on our agenda."

Labour councillors Kevin Allen and Roy Pennington said they had received many complaints.

Board chairman Les Hamilton said a panel would be set up to investigate the problem if it was not solved in five weeks.

Lib Dem councillors first proposed an investigation earlier this year after receiving scores of complaints.

Coun Paul Elgood said some people had received several letters, all giving different figures for benefit.

The council raised concerns with the company involved, First Software, at a meeting three weeks ago.