Summary: We will not investigate this complaint about the Council’s refusal to buy back Ms X’s leasehold property under its buy-back scheme. This was a private sale matter and there is insufficient evidence of fault which would warrant an investigation.

The complaint

1. Ms X complained about the Council’s decision to reject her offer of selling her property to it under its buy-back scheme. She says the Council offered her a price power than the market value and then ended its involvement without reasonable explanation. As a result, she says she has had to renew her mortgage and extend her lease because the prospect of a sale fell through.

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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
• we could not add to any previous investigation by the organisation, or
• we cannot achieve the outcome someone wants.

(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’s response.
4. I considered the Ombudsman’s Assessment Code.

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My assessment

5. Ms X says she offered her home to the Council under its buy-back scheme which she understood would be subject to an offer of the market value. The Council made an offer but this was below the market value. It told her that this is because properties are bought back according to the Council’s needs for certain types and the availability of funds.
6. Ms X made a counter-offer but this was declined by the Council. She asked for details about pricing and valuation of properties for its funding scheme but the Council declined to disclose this information and referred her to the office of the Information Commissioner.
7. Ms X says the Council has purchased properties at market value in the past and believes it was unreasonable to reject her offer.
8. The buy-back scheme is a discretionary scheme which is funded by the Council. The resources are limited and it has the right to decide whether or not to go ahead with a purchase. There was no statutory duty for the Council to buy Ms X’s home and she was free to decline any offers she believed were insufficient and sell on the open market instead. The Council is required to use public resources carefully and there was no fault in its decision not to purchase the property.

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Final decision

9. We will not investigate this complaint about the Council’s refusal to buy back Ms X’s leasehold property under its buy-back scheme. This was a private sale matter and there is insufficient evidence of fault which would warrant an investigation.

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Investigator's decision on behalf of the Ombudsman