South Lakeland District Council is facing claims for compensation of more than £600,000 from people affected by the flooding of Windermere Road, in Grange-over-Sands.
Homes and businesses have flooded three times since Boxing Day and local people are now demanding the council takes action to improve drainage in the area.
Representatives of the Windermere Road Flood Action Group will be presenting their claims for compensation at SLDC's offices today, Friday.
John Smith, chairman of the group, said: "Windermere Road has a history of flooding and local residents have suffered the effects over the years. Instead of improving local drainage, the council has made things worse. The development of the car park is one example.
"For years we have been trying to reason with the council to get them to take some action but nothing positive has happened. They have even made promises in the past that have been broken. We now believe we have no option but to take matters further."
Mr Smith added that the claim for compensation would go some way to offset the fall in property values but said local people had other concerns relating to health and safety. He said floodwater entered gas supplies and mixed with sewage; the damp atmosphere was a threat to health; and living with the threat of flooding was very stressful.
"The solution to this problem might well be complicated and involve a number of agencies working together but surely it is not too much to ask our council to do this on our behalf," said Mr Smith.
Chris Fidler, SLDC's assistant director of environmental protection, said he met residents on February 3 and sanctioned some minor works on gullies with Cumbria County Council. "Our members will be receiving a report to cabinet next week about the reinstatement of a feasibility study of Windermere Road as the council's priority following the submission of Kendal's Stock Beck scheme to DEFRA for consideration," he said.
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