Summary: We do not propose to investigate this complaint about Miss X’s council tax. At our invitation, the Council has agreed a suitable remedy. It will make an affordable repayment arrangement for arrears that arose due to inadequate explanations from the Council.

The complaint

1. Miss X complains about the Council’s handling of her council tax accounts. In particular, she reports the Council inaccurately told her she would not owe council tax for a period when the Valuation Office Agency (VOA) was considering an application about her home’s council tax listing. Miss X says this has caused her financial difficulty dealing with an unexpected bill.

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The Ombudsman’s role and powers

2. We investigate complaints about ‘maladministration’ and ‘service failure’. In this statement, I have used the word ‘fault’ to refer to these. We provide a free service but must use public money carefully. We may decide not to start or continue with an investigation if we are satisfied with the actions an organisation has taken or proposes to take. (Local Government Act 1974, section 24A(7), as amended)

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How I considered this complaint

3. I considered information provided by the complainant and the Council’s response to my invitation to remedy the complaint.
4. I considered the Ombudsman’s Assessment Code.
5. The complainant now has an opportunity to comment on my draft decision. I will consider their comments before making a final decision.

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My assessment

6. Miss X queried whether her home’s listing on the council tax list was accurate. That is a matter for the VOA. While the VOA deals with such queries, council tax remains due, and will have to be paid, including any retrospective amendments if the VOA changes a property’s listing in a way that affects the amount payable. However, Miss X states the Council told her by telephone she would never have to pay anything for the period the matter was with the VOA (which turned out to be seven months), so she did not pay during that period and was surprised when the Council said she owed council tax for that period.
7. The Council says it would not have said Miss X need never pay anything for that period, because it would have known such advice was inaccurate. However, the Council now accepts it did not explain the position clearly enough to Miss X. It has apologised.
8. I have not seen anything in the Council’s emails to Miss X that I interpret to mean the Council would never expect payment of council tax covering the period the VOA was considering the query. It is unlikely I could reach a clear enough view about the precise contents of a telephone call. However, it is clear the Council’s lack of clarity contributed to Miss X’s inaccurate understanding of what she owed. The Council should have explained fully and accurately in writing.
9. It does not follow that Miss X need not pay seven months’ council tax. That money was legally owed and nothing in the Council’s emails said it would not have to be paid. However, the Council should allow more time to pay, as the Council’s lack of clarity meant Miss X did not expect to have to pay.
10. Separate from the above points, Miss X later told the Council she could not afford the instalments it was demanding to repay the arrears. We expect councils to take account of affordability when setting instalment amounts and periods for arrears repayments. The Council does not have to insist someone clears arrears by the end of the current council tax year. Yet there is no evidence the Council considered affordability when Miss X raised this. Instead, the Council’s final response on 18 October 2022 said the arrangement it had set out was ‘the only solution’ and there was nothing else the Council could do. That fault deprived Miss X of the opportunity to have the affordability point properly considered.
11. After I told the Council about Miss X’s complaint to us, the Council contacted Miss X and clarified that it could make an affordable arrangement. I welcome that.
12. The Council’s final response wrongly said Miss X could take her complaint to the Financial Ombudsman Service instead of the Local Government and Social Care Ombudsman. The Council has now clarified this with staff. I welcome that.

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Agreed action

13. At my invitation, the Council has agreed to discuss with Miss X an affordable instalment arrangement to repay the arrears and to put such an arrangement in place within one month of today. That will be a satisfactory remedy.

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Draft decision

14. Subject to any comments Miss X might make on this draft decision, my view is we should not investigate this complaint. This is because the Council has agreed a suitable remedy.

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Investigator's decision on behalf of the Ombudsman