Summary: Mrs X complained the Council wrongly decided the transfer of her mother, Mrs Y’s, property into Mrs X’s possession was an intentional deprivation of assets to avoid care fees. We discontinued our investigation. That is because Trading Standards are investigating alleged financial abuse of Mrs Y’s money and property. We do not wish to prejudice the ongoing Trading Standards investigation, and we do not consider we could reach a safe, fully informed decision while Trading Standards are still investigating.

The complaint

1. Mrs X complained the Council wrongly decided the transfer of her mother, Mrs Y’s, property into Mrs X’s possession was an intentional deprivation of assets for the purposes of avoiding care fees.
2. Mrs X said the Council failed to consider Mrs Y’s physical and mental fitness at the relevant time of the transfer.

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The Ombudsman’s role and powers

3. We investigate complaints about ‘maladministration’ and ‘service failure’.
4. It is our decision whether to start, and when to end an investigation into something the law allows us to investigate. (Local Government Act 1974, sections 24A(6) and 34B(8), as amended)

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How I considered this complaint

5. I considered evidence provided by Mrs X and the Council as well as relevant law, policy and guidance.
6. Mrs X and the Council had an opportunity to comment on my draft decision. I considered any comments received before making a final decision.

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What I found

7. Mrs Y lived in a Council rented house with her husband. Her husband sadly passed away in 2015. Mrs Y was supported by her daughter, Mrs X, with the home, shopping, and finances.
8. Mrs X told me she purchased the house from the Council for Mrs Y in 2018 under the right to buy scheme.
9. The house had to remain in Mrs Y’s name for 5 years under the right to buy terms. The house was transferred into Mrs X’s name in 2023.
10. Mrs Y had a fall at home in her garden in 2024, fracturing her hip. She was supported to return home with a package of care. However, it was decided Mrs Y needed a long-term placement in a residential care home to keep her safe and meet her needs.
11. The Council carried out a financial assessment to establish how much Mrs Y could afford to contribute to the cost of her care home placement.
12. People with care and support needs are free to spend their income and assets as they see fit, including making gifts to friends and family. However, it is also important that people pay their fair contribution towards their care and support costs. (paragraph 8.27, Care and Support Statutory Guidance)
13. There are some cases where a person may have tried to deliberately avoid paying for care and support costs through depriving themselves of assets – either capital or income. In such cases, councils may either charge the person as if they still possessed the asset or, if the asset has been transferred to someone else, seek to recover the lost income from charges from that person. (paragraph 8.28, Care and Support Statutory Guidance)
14. The Council decided the transfer of Mrs Y’s house into Mrs X’s name was a deliberate deprivation of assets, and treated Mrs Y as though she still owned the house for the purposes of the financial assessment.
15. During the course of my investigation, the Council told me Trading Standards were investigating Mrs X for alleged financial abuse of Mrs Y’s money and property. Their investigation is likely to take between six and twelve months.
16. In the circumstances, I decided to discontinue my investigation. There will inevitably be crossover between the issues Trading Standards and the Ombudsman would investigate, and I do not want to prejudice an ongoing criminal investigation. I also do not consider I could reach a safe, fully informed decision while Trading Standards are still investigating the circumstances surrounding the transfer of Mrs Y’s house.
17. Mrs Y may bring her complaint back to the Ombudsman once Trading Standards conclude its investigation.

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Final Decision

18. I discontinued my investigation. We do not wish to prejudice the ongoing Trading Standards investigation, and I do not consider I could reach a safe, fully informed decision while Trading Standards are still investigating.

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Investigator's decision on behalf of the Ombudsman