Summary: We will not investigate this complaint about the Council’s recovery of business rates from Mr X. It was reasonable for him to dispute the matter in the magistrate’s court. We have no power to investigate court action, and only the court can decide liability for business rates.

The complaint

1. Mr X says the Council told him he was eligible for empty property relief, but later said the previous owner had already used the exemption. He says the Council then took enforcement action without giving him notice and he paid the bill under duress. He disputes liability and wants the Council to refund the payment.

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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:

• any injustice is not significant enough to justify our involvement, or
• we cannot achieve the outcome someone wants. (Local Government Act 1974, section 24A(6), as amended, section 34(B))

3. We have the power to start or end an investigation into a complaint about actions the law allows us to investigate. We may decide not to start or continue with an investigation if we think the issues could reasonably be, or have been mentioned as part of the legal proceedings regarding a closely related matter. (Local Government Act 1974, sections 24A(6) and 34B(8), as amended, section 34(B))

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How I considered this complaint

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

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My assessment

6. Mr X believed, based on the Council’s advice, that he was entitled to business rates relief for an empty property from December 2024 to February 2025. The Council’s complaint response explained the period for empty property relief expired before Mr X became liable for business rates – between September and December 2024. The Council apologised for any misunderstanding caused by the advice Mr X received.
7. The Council issued a business rates bill for the property to Mr X for the period from December 2024 to the end of March 2025. It then sent reminder notices warning of legal action if the debt remained unpaid. It then issued a final notice advising that a summons would follow if payment was not made. The bill remained unpaid, so the Council issued a summons for a magistrates’ court hearing, obtained a liability order, and later referred the unpaid debt to enforcement agents.
8. The Council accepted Mr X believed he had received incorrect advice about empty property relief. However, it says its records show Mr X contacted the Council several times and officers advised him that the bill was correct and payable. The Council’s acceptance and apology for Mr X’s misunderstanding of the advice given has not caused significant enough injustice to justify us investigating this issue further.
9. There is no right of appeal to the Valuation Tribunal in disputes about business rates liability or decisions councils make about exemption or relief. The magistrates’ court determines liability, when the Council applies for a liability order. If Mr X believed the amount requested by the Council was incorrect, it would have been reasonable for him to challenge liability and the amount of business rates due at the magistrates’ court. We cannot now act as a substitute for the courts in determining liability or the amount payable.
10. We will not investigate this complaint about the Council’s recovery of business rates from Mr X. It was reasonable for him to dispute the matter in the magistrate’s court. We have no power to investigate court action, and only the court can decide liability for business rates.

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Final decision

11. We will not investigate this complaint about the Council’s recovery of business rates from Mr X. It was reasonable for him to dispute the matter in the magistrate’s court. We have no power to investigate court action, and only the court can decide liability for business rates.

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Investigator's decision on behalf of the Ombudsman