Summary: We will not investigate this complaint about the Council’s decision that a landlord’s property does not meet the criteria for supported accommodation or its advice that the tenants should claim Universal Credit rather than Housing Benefit. This is because we are unlikely to find fault with the Council. Mr X has also not suffered significant personal injustice.

The complaint

1. Mr X complains the Council told tenants of his property they must claim housing costs by Universal Credit because the property is not exempt from Local Housing Allowance (LHA). Mr X says this means the tenants cannot afford the rent payments. Mr X wants the Council to follow government guidance about properties that are exempt from Universal Credit and LHA.

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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 or continue an investigation if we decide:

• there is not enough evidence of fault to justify investigating, or
• any fault has not caused injustice to the person who complained, or
• any injustice is not significant enough to justify our involvement.

(Local Government Act 1974, section 24A(6), as amended, section 34(B))

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How I considered this complaint

3. I considered information provided by the complainant and the Council.
4. I considered the Ombudsman’s Assessment Code.

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My assessment

5. Mr X is a landlord of a property that houses tenants. The Council told the tenants they need to claim housing costs through Universal Credit. Universal Credit is a payment to help with living costs (including rent). It replaced housing benefit.
6. Mr X believes his property is a board and attendance case because he provides meals for the tenants. Mr X therefore thinks his property should be exempt from LHA and his tenants should be able to claim housing costs through Housing Benefit.
7. The Council said tenants must apply for housing costs through Universal Credit unless they meet an exemption criteria. It decided Mr X’s property does not fit into one of the exemption categories.
8. The Council explained why Mr X’s property is not exempt. It said tenants must claim housing costs via Universal Credit unless they live in supported accommodation or temporary accommodation arranged by the local authority due to homelessness. I am satisfied the Council properly considered if Mr X’s property was exempt and we are unlikely to find fault with how the Council made its decision.
9. Mr X is unhappy with the Council’s decision to refuse his tenant’s housing benefit claims and its advice they should claim Universal Credit instead. However, we will not usually investigate a complaint from a landlord about housing benefit entitlement as the landlord does not have a direct administrative relationship with the Council. I understand Mr X says his tenants will not be able to afford their rent. But I do not consider Mr X has suffered any significant personal injustice because of the impact on his tenant’s financial situation.

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Final decision

10. We will not investigate Mr X’s complaint because we are unlikely to find fault with the Council. Mr X has also not suffered significant personal injustice.

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Investigator's decision on behalf of the Ombudsman