Who gives a stuff what the rules are? They are a minimum.
They are selling an allegedly premium product on which they are treating passengers worse than they would be treated were this a late evening cancellation of a budget airline flight.
OK, the airlines are required to do more by law, but if you offer a premium product you need to do more than a budget airline, don't you?
It is downright shoddy.
Erm, I give a stuff what the rules say, as I'm sure do CS, and as I'm sure would the courts if ever someone were to bring a case under the consumer rights act. One of the (many) reasons I don't travel on the sleeper is that I don't think the contract I would be entering into by buying a ticket, defined by the NRCOT, adequately protects my interests. But, if I did buy a ticket and this is what happened, I would have no comeback against CS since they would have fulfilled their side of the contract I freely entered into.
Regardless of what any of us think, the contractual rules which you enter into a customer when you buy a ticket are not a 'minimum', they are all that is required to be done in exchange for the price that you paid. You can't go along and say, "oh, well, you said you were a premium service, I think that my evening meal should be included in that price, so I'm not going to pay for it." You are entitled to what you paid for, no more, no less. In just the same way, your entitlements in the event of disruption are laid out in the contract and you are absolutely not entitled to anything more (especially when CS have already offered a full refund on the price you paid, in addition to fulfilling the contract).
I completely agree that it's not good enough, but I think anyone buying a ticket and expecting anything more than they're legally entitled to is either staggeringly naive, or just looking for trouble.
Would I like to see overnight accommodation required in these situations? Yes, of course. It should be written into the franchise agreements as a requirement, in my opinion. But that doesn't mean, if I were a customer, that I have any right to expect CS to provide it tonight.