Two social workers alleged to have defrauded Hampshire Council have been cleared of all charges after their trial collapsed.

Jim Swaby, the manager of a 15-bed unit for people with learning difficulties in Winchester, and his wife, Kim, who was employed as a part-time night worker, walked free from Winchester Crown Court after the judge instructed the jury to acquit them because of the weak and contradictory nature of the prosecution evidence.

He was accused of stealing £2,240 and of 10 counts of false accounting to the value of £82,000. She was charged with obtaining by deception by lying about overtime.

They denied all charges.

A council spokesperson said Hampshire was disappointed with the outcome and would investigate with the police what went wrong before deciding whether to pursue a civil action.