Summary: Mr D complains the Council did award him 100% Small Business Rates Relief in 2022. We have not found any evidence of fault by the Council and have completed the investigation and not upheld the complaint.

The complaint

1. The complainant (whom I refer to as Mr D) says the Council failed to award him 100% Small Business Rates Relief (SBRR) in 2022.

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The Ombudsman’s role and powers

2. We investigate complaints of injustice caused by ‘maladministration’ and ‘service failure’. I have used the word fault to refer to these. We consider whether there was fault in the way an organisation made its decision. If there was no fault in the decision making, we cannot question the outcome. (Local Government Act 1974, section 34(3), as amended)
3. If we are satisfied with an organisation’s actions or proposed actions, we can complete our investigation and issue a decision statement. (Local Government Act 1974, section 30(1B) and 34H(i), as amended)

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How I considered this complaint

4. I considered the information provided by Mr D and asked the Council questions.
5. I shared my draft decision with both parties.

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What I found

What happened

Background

6. Mr D applied for SBRR to the Council in 2018. He has received relief under the scheme each year since.

Events I have investigated

7. In March 2022 the Council issued its annual business rates bills (for 22/23 period). It sent Mr D his bill which included a 50% reduction as part of the Retail, Hospitality and Leisure Business Rate Relief (RHLBRR). The bill included two forms, Form A and Form B. It advised Mr D that he should complete and return Form A if he accepted the 50% relief or Form B if he did not want the relief and his bill would be adjusted accordingly.
8. In June Mr D submitted Form B to the Council. The Council then removed the 50% RHLBRR from Mr D’s bill and sent a revised bill in July. In August Mr D complained to the Council that he was not now receiving the 50% RHLBRR, he made no reference to the other relief (SBRR). The Council advised him he had returned Form B and his case had been processed correctly.
9. On 7 September Mr D told the Council he had refused the RHLBRR because he wanted 100% reduction in his bill using the SBRR. The Council replied on 18 October. It said the RHLBRR only allowed a 50% reduction in the bill. Mr D was in receipt of SBRR but as he had refused the RHLBRR it could not offer him any further relief that financial year.
10. The Council has told me that Mr B is in receipt of some relief under the SBRR but as the rateable value of his business is over £14,000 he is not entitled to 100% relief.

What should have happened

11. The Council’s website sets out the various business relief schemes available. It also provides links to guidance and application forms.
12. The SBRR allows a business owner up to 100% relief on business rates. Businesses with a rateable value of below £12,000 receive 100% relief. If the rateable value exceeds £12,000 the Council can award a reduced level of relief. It will not provide any relief for a business rated over £15,000.
13. The RHLBRR is awarded by the Council to businesses. It allows a 50% reduction on business rates bills with a capped amount. Notification about the RHLBRR is set out in the annual bill sent by the Council. The business owner is required to complete a form either accepting the relief or refusing it. Once refused they cannot then ask for it to be reinstated.
14. A business owner can receive both SBRR and RHLBRR simultaneously if they meet the criteria.

Was there fault by the Council

15. Mr D says he should have received 100% business rates relief under the SBRR process. There is no fault by the Council. Mr D’s business has been assessed as having a rateable value that is higher than £12,000. That means he is not automatically entitled to 100% relief. I appreciate Mr D disagrees with the Council’s decision. However, the Ombudsman will not question the merits of such decisions taken without administrative fault: that applies to this case.

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Final decision

16. I have completed the investigation and not upheld the complaint.

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Investigator's decision on behalf of the Ombudsman