Summary: We have discontinued this investigation into the Council billing for council tax on a property that was uninhabitable due to flood damage. This is because we could not achieve anything more by further investigation.

The complaint

1. Ms X complains the Council:
• wrongly billed her for council tax on her empty, flood-damaged property while she was also paying council tax on her temporary accommodation; and
• passed her debt onto an enforcement agency

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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. We investigate complaints about ‘maladministration’ and ‘service failure’, which we call ‘fault’. We must also consider whether any fault has had an adverse impact on the person making the complaint, which we call ‘injustice’. We provide a free service but must use public money carefully. We do not start or continue an investigation if we decide further investigation would not lead to a different outcome. (Local Government Act 1974, section 24A(6), as amended)

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How I considered this complaint

5. I considered evidence provided by the Council and Ms X.
6. Ms X and the Council had the opportunity to comment on my draft decision.

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What I found

Empty homes and council tax

7. The primary law governing council tax is the Local Government Finance Act 1992 (as amended). The Council Tax (Exempt Dwellings) Order 1992 (as amended) sets out the categories of property exempt from council tax.
8. At the time, the Order gave time limited exemptions to vacant properties where major structural repairs or alterations were required (up to 12 months) and to empty homes (up to six months).
9. The Local Government Finance Act 2012 replaced these two exemptions with discounts set at a level determined by the local council. Any challenge to a council’s decision on the entitlement to a discount or exemption, but not to the level of discount awarded, must be made to the Valuation Tribunal.
10. It is now up to councils whether to offer a reduction in council tax on empty homes and many do not.
11. The Valuation Office Agency (VOA) is responsible for keeping the valuation list of all properties and their council tax banding up to date. In some circumstances, including when properties require significant reconstruction works or are derelict, the agency may delete a property from the valuation list. This means the owner would not be liable for council tax. Once the works are complete, the agency would apply for a band as if the property was a new dwelling and the owner would become liable for council tax again.

What happened

12. Ms X’s home was flooded in 2019. She informed the Council her property had become uninhabitable and sought confirmation she would not have to pay council tax on the property.
13. The Council advised Ms X that it did not offer a reduction in council tax for empty properties and signposted her to the Valuation Office Agency (VOA).
14. The VOA decided not to de-list her property. It directed her back to the Council.
15. Due to Ms X’s circumstances, she applied successfully to the Council’s Hardship Fund and for Council Tax Support. In addition, the Council confirmed it had written off Ms X’s remaining council tax debts from 2017 to 2019 so she no longer owed anything for that period.
16. Ms X remained unhappy because she said she had already made payments to the Council and to enforcement agents towards the debt for the period when her property was flooded. Ms X says she would like a refund of these payments.

My findings

17. It was for the VOA to decide to delete the property from the valuation list if it considered it was so badly damaged as to be derelict. Any decision of the VOA is outside the Ombudsman’s jurisdiction. Ms X has a right of appeal to the Valuation Tribunal against the VOA’s decision.
18. The Council has awarded Council Tax Support and a hardship payment to Ms X. I acknowledge Ms X has already made payments towards the debt. However, alongside the Council Tax Support and hardship payment, the Council has also written off around £1,260 of the council tax debt. We are unlikely to be able to achieve anything further than the remedy already offered by the Council.

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Final decision

19. I have discontinued this investigation because we could not achieve anything more by further investigation.

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Investigator's decision on behalf of the Ombudsman