Ummmm so if the police kick you front door in, break things in your house and the realise its the wrong address you will be happy to pay for the damage?
I think Marsons realises that what you are saying is correct, hes not talking about being compensated for the actions of the police just reasonable replacement.
Marsons I would write to the Superintendent in charge of the local police station, if you don't get a proper reply. Write to the Police Complaints Commission.
Good luck and I think you have an admirable attitude, not sure I would be so forgiving.