Summary: We will not investigate Mr X’s complaint that the Council wrongly refused his application for a government grant for businesses affected by COVID-19. This is because there is no evidence of fault by the Council.

The complaint

1. The complainant, Mr X, complains the Council wrongly refused his application for a Restart Grant for businesses affected by the COVID-19 pandemic.

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The Ombudsman’s role and powers

2. We investigate complaints about ‘maladministration’ and ‘service failure’, which we call ‘fault’. We must also consider whether any fault has had an adverse effect on the person making the complaint, which we call ‘injustice’. We provide a free service, but must use public money carefully. We may decide not to start an investigation if the tests set out in our Assessment Code are not met. (Local Government Act 1974, section 24A(6), as amended)
3. We cannot question whether a council’s decision is right or wrong simply because the complainant disagrees with it. We must consider whether there was fault in the way the decision was reached. (Local Government Act 1974, section 34(3), as amended)

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How I considered this complaint

4. I considered information provided by Mr X and the Council.
5. I considered the Ombudsman’s Assessment Code.

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My assessment

6. Mr X runs a business hiring out vehicles with drivers to members of the public. He applied to the Council for a Restart Grant, which provides funding to eligible businesses which were required to close during the national lockdown restrictions in late 2020 and early 2021, but the Council refused his application.
7. It explains Mr X is not eligible for the Restart Grant on two grounds; these are that the main activity of his business does not take place at his premises and because the business itself does not fall into one of the relevant sectors. Mr X feels the decision is unfair and believes he is eligible for the grant.
8. We are not an appeal body. We can only look at the way the Council reached its decision and cannot find fault simply because Mr X disagrees with it.
9. Government guidance for the Restart Grant confirms:

“19. The primary principle of the Restart Grant scheme is to support businesses that offer in-person services, where the main service and activity takes place in a fixed rate-paying premises, in the relevant sectors.”

10. It also explains:

“22. It is understood that in some cases it may not be materially clear whether a business falls into one of the categories, so decisions on the eligibility of these businesses will be at the Local Authorities discretion.”

11. The Council has exercised its judgement in determining Mr X does not meet the criteria and there is no evidence of fault affecting its decision. We cannot therefore criticise it.

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Final decision

12. We will not investigate this complaint. This is because there is no evidence of fault by the Council.

Investigator’s decision on behalf of the Ombudsman

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Investigator's decision on behalf of the Ombudsman