Summary: Mr P complained the Council is seeking business rates on his property without explanation. The Ombudsman cannot investigate this complaint because the matter has been considered in court.

The complaint

1. Mr P complained the Council is seeking payment of business rates on his property without explanation. He says he is not liable to pay the rates and the property should be exempt.

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The Ombudsman’s role and powers

2. We cannot investigate a complaint about the start of court action or what happened in court. (Local Government Act 1974, Schedule 5/5A, paragraph 1/3, as amended)
3. We have the power to start or discontinue an investigation into a complaint within our jurisdiction. We may decide not to start or continue with an investigation if we think the issues could reasonably be, or have been, raised within a court of law. (Local Government Act 1974, sections 24A(6) and 34B(8), as amended)

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How I considered this complaint

4. I have considered all the information Mr P provided. I have also considered the Council’s response. I have written to Mr P with my draft decision and considered his comments.

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What I found

Liability

5. Mr P’s property is subdivided into several units. Mr P says he has a verbal tenancy agreement with a company which is letting one of the units. He says the company is liable for the business rates.
6. The Council says Mr P refused to give it information to allow it to contact the company to confirm occupation of the unit. They also say an inspection found the unit to be empty.
7. Section 45(1) of the Local Government Finance Act 1988 states where a property is empty, the ‘owner’ is responsible for paying empty rates. Section 65(1) defines the owner as the person ‘entitled to possession’.
8. On that basis, the Council is seeking empty property business rates from Mr P. It explained its rationale to Mr P in an appeal response in July 2019.
9. The Council sought a liability order from the magistrates’ court to confirm Mr P is liable for the business rates and the Council’s costs. Mr P attended a liability order hearing in January 2020.
10. Mr P says the hearing has been adjourned to allow the Ombudsman to consider his complaint. The Ombudsman cannot look at matters considered in court. The court is the best body to consider Mr P’s dispute about his liability and the Council’s rationale for seeking business rates from him. It is an expert body and its decisions are binding on a Council.

Rating

11. Mr P also says the unit should be exempt from business rates as it is valued at £11,500. Bolton Council offer a 100% exemption on properties valued below £12,000. The court is best placed to address whether the Council should have offered Mr P a rate relief. If he has not already done so, Mr P can raise this matter at the liability order hearing.

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Final decision

12. The Ombudsman cannot investigate this complaint. This is because it relates to matters considered in court.

Investigator’s decision on behalf of the Ombudsman

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Investigator's decision on behalf of the Ombudsman