Summary: The Ombudsman cannot investigate this complaint about the way the Council handled the complainant’s housing costs linked to her Universal Credit. This is because he cannot investigate the Council when it is acting as a landlord and because he cannot investigate the Department for Work and Pensions.

The complaint

1. The complainant, whom I refer to as Mrs X, complains about the way the Council handled the housing costs part of her Universal Credit (UC) claim. She is particularly unhappy that the Council asked the Department for Work and Pensions (DWP) to pay the housing costs to the Council and to deduct money for rent arrears. Ms X wants the DWP to pay the housing costs to her and to stop the deductions.

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The Ombudsman’s role and powers

2. The Local Government Act 1974 sets out our powers but also imposes restrictions on what we can investigate.
3. We cannot investigate complaints about the provision or management of social housing by a council acting as a registered social housing provider. (Local Government Act 1974, paragraph 5A schedule 5, as amended)
4. We investigate complaints about councils and certain other bodies. We cannot investigate the actions of the DWP. (Local Government Act 1974, sections 25 and 34A, as amended)

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How I considered this complaint

5. I read the complaint and the Council’s responses. I considered comments Mrs X made in reply to a draft of this decsion.

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What I found

Housing benefit and Universal Credit

6. Housing benefit cannot be paid if someone goes abroad for more than four weeks. If someone’s circumstances change they have to claim UC instead of other benefits like Jobseekers Allowance. Most people who claim UC have to claim help with their rent through UC rather than Housing Benefit.

What happened

7. Mrs X was getting Jobseeker’s Allowance and Housing Benefit. In 2020 she went abroad for more than four weeks. When she returned to the UK she claimed UC and housing benefit. She had rent arrears when she returned because she did not pay any rent while she was away and did not get Housing Benefit.
8. The DWP asked the Council for information about Mrs X’s rent. The housing service provided the information. It asked the DWP to make deductions and to pay the housing costs to the Council, because Mrs X had rent arrears of £788.
9. The DWP paid UC to Mrs X which included £328 a month for housing costs. The Council told Mrs X her rent is £382. It suggested Mrs X query the shortfall with the DWP.
10. Mrs X is unhappy that the DWP is paying the housing costs to the Council and she disputes she still has arrears. She wants the DWP to pay the housing costs to her and to stop the deductions. She also says she was given confusing information about whether she should claim Housing Benefit or UC.
11. The Council told Mrs X it will not ask the DWP to change the arrangements until the arrears have been cleared. It also confirmed the arrears are correct.

Assessment

12. I cannot start an investigation for the following reasons.
13. The Council, acting as Mrs X’s landlord, asked for deductions and asked for direct payments of the housing costs. Mrs X disagrees with this arrangement and disputes she still has arrears. However, I have no power to investigate a council when it is acting as a landlord.
14. Mrs X has expressed frustration with the UC payment cycle, and it is not clear why UC does not pay all the rent. This, however, is a matter she would need to put to the DWP. I cannot comment on decisions made by the DWP.
15. Mrs X says she was given confusing information about what benefits to claim when she returned from her holiday. I appreciate this would have been frustrating but as the DWP has paid UC from when Mrs X claimed, this does not need an investigation.

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Final decision

16. I cannot start an investigation because I cannot investigate a council when it is acting as a landlord and I cannot investigate the DWP.

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Investigator's decision on behalf of the Ombudsman