bad company wrote:
...I made a claim which has been rejected on the grounds that ‘the council are only liable if it can be shown that a full system of inspection and repairs is in place’. ..

Great - don't inspect and they can't be liable? Alternatively, run an (ineffective) inspection regime - and just respond to reports from the public?
Common sense suggests that it is thier responsibility - so why not test it in the Small Claims Court? The iniitial cost to you is dictated by the value of the claim and is not excessive - win and you recover your costs anyway.