Summary: The Ombudsman will not investigate Mr X’s complaint that the Council has stopped his council tax support. The complaint is outside the Ombudsman’s jurisdiction because Mr X can appeal to the Valuation Tribunal. The Council’s council tax support policy can only be challenged at court.

The complaint

1. Mr X complains that the Council has refused him council tax support and has cancelled his entitlement for a period when it previously granted support. Mr X says the Council has unreasonably demanded to see a bank statement. Mr X says he is faced with a large council tax bill and should not need to pay because he is on universal credit.

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The Ombudsman’s role and powers

2. The law says we cannot normally investigate a complaint when someone can appeal to a tribunal. However, we may decide to investigate if we consider it would be unreasonable to expect the person to appeal. (Local Government Act 1974, section 26(6)(a), as amended)
3. The Valuation Tribunal deals with appeals against decisions on council tax liability and council tax support or reduction.
4. The law says that a council tax reduction scheme ‘shall not be questioned except by an application for judicial review’ (Local Government Finance Act 1992, section 66, as amended by the LGFA 2012).

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How I considered this complaint

5. I have considered Mr X’s information and comments. I have discussed the complaint with him by telephone. I have obtained from the Council its benefit letters to Mr X explaining its decisions. I have considered the Council’s website information on its new council tax reduction policy.

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What I found

6. The Council has cancelled Mr X’s council tax support. It has explained its reasons and given him decisions in April and July 2020. The Council says:
1. Between 17 June 2019 and 31 March 2020, it decided Mr X was no longer entitled to council tax support due to an increase in his capital. This took him above the limit of £6000.
2. From 1 April 2020 Mr X is not entitled because the Council has introduced a change to its council tax reduction policy. It says this is due to reductions in the Government’s support grant. It says all working age people will pay 30 per cent or more council tax before being entitled to benefit. It is part of the Council’s assessment banding system. Mr X’s income exceeds the amount allowed under the relevant band. Mr X says his ‘income’ is universal credit.
7. The Council has advised Mr X of his right to appeal to the Valuation Tribunal if he believes he is entitled to a reduction in his council tax. He tells me he has sent a form to the Tribunal. The Council has explained why it is entitled to ask for evidence, such as bank statements, to help it decide whether a person is entitled to benefits. It has advised Mr X he can apply for a discretionary council tax payment (usually paid where a person is suffering hardship).

Analysis

8. I will not investigate this complaint for the following reasons:
9. The complaint is outside the Ombudsman’s jurisdiction. Mr X can appeal refusal of council tax support or a decision on the level of benefit to the Valuation Tribunal (see paragraph 2 and 3 above). This covers a situation where the Council has made an error in applying its policy in, for example, how it has assessed capital.
10. I consider it reasonable for Mr X to use his right of appeal. The Valuation Tribunal has the power to change the Council’s decision.
11. The Ombudsman cannot investigate the Council’s change in its policy which has reduced benefit for people in Mr X’s position. The policy can only be challenged at court (see paragraph 4 above).

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Final decision

12. The Ombudsman will not investigate Mr X’s complaint that the Council has stopped his council tax support. The complaint is outside jurisdiction because Mr X can appeal to the Valuation Tribunal. The Council’s council tax policy can only be challenged at court.

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Investigator's decision on behalf of the Ombudsman