Only dud moment for me was the Doctor's 'ouch' when Diana Rigg fell off the stairs. Didn't think the Doctor would make a joke out of someone's death and felt out of character. But it was only a minor quibble.
You're right, it is generally out of character, but I interpreted that as meaning that the Doctor was so unbelievably revolted by what Mrs. Gillyflower (Diana Rigg's character) had done, that he could not muster any sympathy at all. For the Doctor to just say "ouch" indicates the extent of his utter contempt.
After all, Mrs. Gillyflower admits to blinding Ada (her own daughter) in experiments to immunize herself from the toxin. The fact that Ada only discovered this when she overheard Mrs. Gillyflower indicates that Ada was probably blinded when she was too young to remember (i.e. when she was a toddler, or even an infant). Even the compassionate Doctor would have a hard time sympathizing with someone who blinded her own baby girl.