Summary: We cannot investigate this complaint about a housing benefit overpayment because the matter has been heard by the tribunal. We will not investigate the complaint about the complainant’s council tax account being closed in error because there is insufficient evidence of injustice.

The complaint

1. The complainant, whom I refer to as Ms X, says she should not have to repay a housing benefit overpayment because the court found her not guilty of fraud. She also complains the Council wrongly closed her council tax account causing arrears.

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The Ombudsman’s role and powers

2. 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 an investigation if we decide any fault has not caused injustice to the person who complained. (Local Government Act 1974, section 24A(6))
3. We cannot investigate a complaint if someone has appealed to a tribunal or a government minister or started court action about the matter. (Local Government Act 1974, section 26(6), as amended)
4. 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)

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How I considered this complaint

5. I considered information provided by Ms X and the Council. I also considered our Assessment Code and comments Ms X made in reply to a draft of this decision.

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My assessment

6. In 2016 the tribunal confirmed that Ms X must repay a benefit overpayment of £12164. The tribunal decision states Ms X had not reported to the Council all the changes to her income.
7. Ms X was prosecuted for benefit fraud. The court decided Ms X was not guilty of any criminal offence.
8. Ms X has other benefit overpayments which arose after 2016. Ms X has a payment plan in place.
9. In 2019 the Council’s benefit team wrongly told the council tax team that Ms X had moved. The Council sent a closing council tax bill to Ms X. The closing bill was sent to the property that the Council erroneously thought Ms X had left. The bill showed she owed council tax of £1312.
10. Ms X still has council tax arrears and has had arrears since at least 2018. During 2021, on at least two occasions, the Council invited Ms X to set up a payment plan. The Council explained to Ms X that being acquitted of fraud did not mean she was not liable to repay the overpayment. It explained that being found not guilty of a criminal offence had no bearing on the recoverability of the overpayment.
11. I cannot investigate the overpayment because the tribunal heard Ms X’s appeal and decided she must repay the overpayment. I cannot investigate any matter that has been heard in court or by the tribunal. The tribunal decided Ms X must repay the overpayment and that decision stands.
12. The Council closed Ms X’s council tax account in error. I will not investigate this part of the complaint due to insufficient evidence of injustice. This is because the Council sent a closing bill and it is reasonable to expect that Ms X would have contacted the Council to query that bill and to explain she had not moved. She could have also got in touch when she did not receive a council tax bill for the new financial year. In addition, Ms X already had council tax arrears and, as she knew she had not moved, would have been aware she needed to continue to pay council tax.

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Final decision

13. I cannot investigate this complaint because the overpayment has been considered by the tribunal and because there is insufficient evidence of injustice.

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Investigator's decision on behalf of the Ombudsman