The photo looks like a standard road junction, of which there are thousands in the UK. Notwithstanding that I'm sorry that someone got hurt, I'd be pretty miffed if my own council shelled out some of my money to a high-speed cyclist who'd fallen off at that junction.
I have to say I agree, although like Gordy I'm always sorry to hear that anyone has fallen.
If this was Belgium/France/Holland there would be long stretches of much more extreme pave, and 90 degree turns across tram lines etc as well.
It's the contrast between everyday road and a feature that will bring you down which is important, not some absolute measure of badness. On my way into the office every day I ride on pave that would make the most ferocious northern classic seem like a newly-surfaced velodrome - the upstand between many blocks is well over an inch, and there are many potholes / missing blocks and eruptions to avoid.
However, just because it's fine to have a sharp bend on an unclassified country road with single-file traffic doesn't imply that we'd love to see a 90 degree, merge-to-one-lane bend on a motorway (without some kind of advance warning). Similarly, this sett is unacceptable *in the context within which it has been placed*.
If my council deliberately maintained a feature which was both unnecessary and they were getting reports of accidents, I should think they'd be ripe to learn a litigious lesson and I wouldn't cry if they did get spanked by the courts, if that was the only way to make the thing safe.