Summary: We will not investigate this complaint that the Council did not divert the housing benefit to the complainant, as the landlord, even though the complainant reported that her tenants were in rent arrears. This is because there is insufficient evidence of fault by the Council.

The complaint

1. The complainant, Mrs X, complains the Council refused to divert her tenants’ housing benefit to her even though she had reported they were in arrears. She also complains the Council rehoused the tenants despite the tenants damaging the property. Ms X says the Council should make deductions from the tenants’ current housing benefit and pass the money to her to cover the arrears and damage.

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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 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 there is not enough evidence of fault to justify investigating. (Local Government Act 1974, section 24A(6), as amended, section 34(B))
3. The law says we cannot disclose information which is confidential to other people.

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How I considered this complaint

4. I considered information provided by Mrs X and the Council. This includes the complaint correspondence. I also considered our Assessment Code.

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My assessment

5. Mrs X rented a property to tenants. Mrs X asked the Council to pay the housing benefit to her because the tenants were in rent arrears. The tenants subsequently left the property, having caused some damage, and Mrs X asked the Council to make deductions from their current housing benefit and pay it to her.
6. The Council explained it was limited it what it could say about her tenants due to data protection. It said that, in general terms, a council can, in some circumstances, pay housing benefit to a landlord when a tenant receives housing benefit and has rent arrears. It explained that when a tenant receives help with housing costs via Universal Credit then the landlord must apply to the Department for Work and Pensions for deductions for rent arrears.
7. The Council said it could not comment on whether it had helped the tenants with their housing situation. If explained that deductions from housing benefit can only be made for the property a tenant is living in; the regulations do not allow a council to make deductions and pass it to a former landlord.
8. The Council suggested Mrs X seeks payment of the rent arrears, and costs for the damage, though the courts.
9. I will not start an investigation because there is insufficient evidence of fault by the Council. I cannot add to what the Council has said due to data protection rules but I can confirm there is no suggestion of fault in the Council’s decision that it cannot pay housing benefit to Mrs X for either the current or former property. It is also correct that the Council cannot say whether it offered any housing assistance to the tenants after they left Mrs X’s property. Further, the Council correctly explained the housing benefit rules and suggested Mrs X seek recovery of her losses through the courts.

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Final decision

10. We will not investigate this complaint because there is insufficient evidence of fault by the Council.

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Investigator's decision on behalf of the Ombudsman