Summary: The Council has delayed taking action to ensure Miss B receives compensation which she was awarded by the Criminal Injuries Compensation Authority. The Council has agreed to apologise to Miss B and Ms X, make a payment to recognise the interest payments Miss B has lost, and take action to ensure Miss B receives the compensation soon.

The complaint

1. Ms X is complaining on behalf of her daughter, Miss B. Ms X complains that Miss B has not received compensation she was awarded by the Criminal Injuries Compensation Authority because of delays by the Council.

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The Ombudsman’s role and powers

2. We investigate complaints about ‘maladministration’ and ‘service failure’. In this statement, I have used the word fault to refer to these. We must also consider whether any fault has had an adverse impact on the person making the complaint. I refer to this as ‘injustice’. If there has been fault which has caused an injustice, we may suggest a remedy. (Local Government Act 1974, sections 26(1) and 26A(1), as amended)
3. If we are satisfied with a council’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 have:
• considered the complaint and the documents provided by the complainant;
• made enquiries of the Council and considered the comments and documents the Council has provided; and
• given the Council and the complainant the opportunity to comment on my draft decision.

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What I found

5. Miss B is 20 years old. In 2014, she was awarded compensation of £237,347 by the Criminal Injuries Compensation Authority (CICA). The compensation was for injuries Miss B suffered as a baby and the life-long impact these will have on her.
6. At the time the compensation was awarded, Miss B was 14 years old and the Council and Miss B’s grandparents had joint parental responsibility for her.
7. In 2018, Ms X complained about various matters relating to the CICA award, including delays, a lack of support by the Council which affected the family’s ability to challenge the level of the award and the Council’s decision about who should be one of the appointees for the trust fund.
8. The complaint was investigated by an Independent Investigating Officer at stage two of the statutory procedure for complaints about children’s social care. The Investigating Officer upheld some aspects of the complaint and in August 2018, the Council agreed to apologise, review its procedures and offer a financial remedy of £400. The Council told Ms X that the award was earning interest pending the family’s decision regarding the chosen appointee.
9. Ms X did not escalate her complaint to the third stage of the complaints procedure.
10. Ms X made a new complaint to the Council in around June 2019. The Council told Ms X that as Miss B was an adult and resident in a different local authority area, it would not be appropriate for it to accept a complaint concerning the management of her financial affairs. It said that the Adult Services Team for her local council had accepted responsibility for pursuing the matter.
11. Ms X then complained to the Ombudsman about the delay in Miss B receiving the compensation award. She said that Miss B had also lost several years of interest payments.
12. Following receipt of my enquiries about Ms X’s complaint, the Council agreed to accept responsibility for resolving issues concerning the CICA award. It explained that it was critical that Miss B had a Mental Capacity Assessment to ensure her best interests were protected. It proposed to make a final request of Miss B’s local council for a copy of an existing Mental Capacity Assessment, and to carry out a new assessment itself if that was not forthcoming. It said that if Miss B was deemed to lack capacity regarding financial matters, it would make an application to the Court of Protection.
13. A new capacity assessment was undertaken on 8 July. The Council is in the process of applying to the Court of Protection to appoint a solicitor to act as Miss B’s property and affairs deputy. The deputy and Miss B’s aunt will act as the two trustees to accept and manage the award, which the CICA requires to be held on trust.
14. The Council now believes that the compensation award has not accrued interest. It accepts some responsibility for the delays and subsequent loss of interest. In recognition of this, it has agreed to make a payment of £5000 to Miss B.

Analysis

15. I do not consider there are grounds to investigate the issues which were considered as part of the stage two investigation. Ms X accepted the payment offered to settle her complaint and did not escalate it to the third stage of the complaints procedure, or to the Ombudsman.
16. When the Council investigated Ms X’s complaint in 2018, it wrongly told her that the CICA award was earning interest. It also failed to take timely or robust action to ensure the matter was progressed which has contributed to Miss B not yet receiving the award. However, I am satisfied with the action the Council is now taking.
17. The evidence shows that the actions of both the Council and family have contributed to the delay in Miss B receiving the award. I consider the Council should pay 50% of the amount Miss B has lost in interest payments, which is likely to be more than the £5000 it has offered. The exact amount should be agreed with the court appointed deputy. I consider the Council should also apologise to Ms X and Miss B for the delays since the stage 2 investigation.

Agreed action

18. Following our recommendation, the Council has agreed to take the following actions:
• Write to Ms X to confirm that it will pay Miss B 50% of the amount she has lost in interest payments, and that it will agree the exact amount with the court appointed deputy.
• Apologise to Ms X and Miss B for the delays since the stage 2 investigation.
19. We also recommended that the Council continue to progress its application to the Court of Protection and ensure Miss B’s trustees receive her compensation within eight weeks. The Council has explained that a substantial part of the process is outside of its control and it is therefore unable to ensure the award will be paid within eight weeks. It says that it will complete the process as soon as possible. I have asked the Council to provide an update to the Ombudsman and Ms X every eight weeks until the award is paid.

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Final decision

20. I have completed my investigation and uphold Ms X’s complaint. There was fault by the Council which caused injustice. The action the Council has agreed to take is sufficient to remedy that injustice.

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Investigator's decision on behalf of the Ombudsman