Summary: We will not investigate Mr X’s complaint the Council is pursuing overpayments of housing benefit going back some years. It was reasonable for Mr X to use his right of appeal to the Social Security Tribunal if he wanted to challenge the overpayment decisions. We cannot achieve the outcome Mr X seeks.

The complaint

1. Mr X complains the Council has pursued overpayments of benefit since 2015. He says one overpayment, in 2018, was caused when the Council delayed 3-4 months in assessing an increase in his income when he had informed it of his change of circumstances in October 2017.
2. Mr X complains the Council in 2021 has demanded on several occasions he pay the overpayment debt of £5054 when it told him recovery action was on hold until it had dealt with his communications about the matter.
3. Mr X says the Council has caused financial hardship, distress, and harmed his mental health. He says the Council should apologise, cancel the overpayment debt, and pay compensation.

Back to top

The Ombudsman’s role and powers

4. The Ombudsman investigates 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 may decide not to continue with an investigation if we decide:

• we could not add to any previous investigation by the organisation, or
• further investigation would not lead to a different outcome, or
• we cannot achieve the outcome someone wants.

(Local Government Act 1974, section 24A(6))

5. The Local Government Act 1974 sets out our powers but also imposes restrictions on what we can investigate.
6. 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)
7. The law says we cannot normally investigate a complaint when someone could take the matter to court. However, we may decide to investigate if we consider it would be unreasonable to expect the person to go to court. (Local Government Act 1974, section 26(6)(c), as amended)

Back to top

How I considered this complaint

8. I have considered information and comments by Mr X and the Council. The information includes the complaint correspondence and the benefit overpayment notification sent to Mr X on 7 February 2018.

Back to top

My assessment

9. I will not investigate this complaint for the following reasons:
10. The complaint about housing benefit overpayments is outside the Ombudsman’s jurisdiction because Mr X had a right of appeal to a tribunal (see paragraphs 5 and 6 above). The Social Entitlement Chamber (also known as the Social Security Appeal Tribunal) is a tribunal that considers housing benefit appeals. (The Social Entitlement Chamber of the First Tier Tribunal) The Council’s benefit decision notice, February 2018, informed Mr X that the latest overpayment was £1923 with a total overpayment debt of £7296. The notice explains the right of appeal to the ‘independent tribunal’.
11. I consider it reasonable for Mr X to have used his right of appeal if he wanted to challenge the overpayment decisions or a decision that he was not entitled to benefit, or which reduced benefit. The Tribunal has the power to decide that an overpayment does not exist or is not recoverable. The Council says Mr X did not use his right of appeal.
12. The Council says it put recovery on hold in May 2021 when Mr X wrote and challenged the overpayment decision of February 2018 and due to information about a change of circumstances in July 2020 which might have affected one overpayment. The Council has apologised for sending further demand letters which remedies any injustice. The Council tells me recovery action remains on hold.
13. The Ombudsman cannot obtain the outcome Mr X wants. The Council is entitled to pursue recovery of a benefit debt which is not paid if it follows the correct procedures.
14. The Council’s final complaint reply, April 2022, advises Mr X how he can apply for debt relief based on hardship. If Mr X has a council tax debt he could also apply for ‘section 13A’ discretionary council tax relief which creates a right of appeal to the Valuation Tribunal.
15. A complaint of damage to health is outside the Ombudsman’s jurisdiction because there is a legal remedy at court (see paragraph 7). I consider it reasonable for Mr X to pursue his legal remedy. A court has the power to award damages.

Back to top

Final decision

16. The Ombudsman will not investigate Mr X’s complaint the Council is pursuing overpayments of housing benefit going back some years. It was reasonable for Mr X to use his right of appeal to the Social Security Tribunal if he wanted to challenge the overpayment decisions. We cannot achieve the outcome Mr X seeks.

Back to top

Investigator's decision on behalf of the Ombudsman