Summary: Ms X complained the Council placed an unsuitable tenant, Y, in her property, let through a Council scheme to support homeless people. Ms X also complained the Council failed to support Y when Ms X raised concerns about her behaviour. Ms X said Y damaged the property and she incurred significant costs because of this. There was fault in the way the Council did not secure an up to date reference and did not complete its complaint process. Ms X suffered uncertainty as a result of the fault and was put to time and trouble to complain. The Council has agreed to apologise, make a financial payment and issue guidance to its staff.

The complaint

1. Ms X complained the Council placed an unsuitable tenant, Y, in her property, let through a Council scheme to support homeless people. Ms X also complained the Council failed to support Y when Ms X raised concerns about her behaviour. Ms X said Y damaged the property and she incurred significant costs because of this.

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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 read Ms X’s complaint and spoke to her about it on the phone.
5. I considered information provided by Ms X and the Council.
6. Ms X and the Council had an opportunity to comment on my draft decision. I considered any comments received before making a final decision.

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What I found

Background information

7. Part 7 of the Housing Act 1996 and the Homelessness Code of Guidance for Local Authorities set out councils’ powers and duties to people who are homeless or threatened with homelessness.
8. If a council is satisfied an applicant is unintentionally homeless, eligible for assistance, and has a priority need the council has a duty to secure that accommodation is available for their occupation. This is called the main housing duty. The accommodation a council provides until it can end this duty is called temporary accommodation. (Housing Act 1996, section 193)
9. The Council runs an “Opening Doors” scheme. The website states:
10. “If you're a landlord looking to rent out your property, we will find you a suitable tenant, collect the rent and manage all the paper-work - all at no cost to you.”
11. The schemes brochure provides further detail. It states the scheme includes:
12. “Full tenancy sign up service including tenancy agreement, inventory, tenant checks and service of documents”.
13. “Legal assistance and court costs paid by the Council”.

What happened

14. This is a summary of events, outlining key facts and does not cover everything that has occurred in this case.
15. Ms X signed up with the Council’s Opening Doors scheme in 2019. Ms X signed an agreement with the Council to provide a grant to improve her property. The Council provided a grant to Ms X to enable her to complete improvements to the property. The Council guaranteed Ms X received the full rent and provided a deposit.
16. Y moved into Ms X’s property in November 2019.
17. Ms X raised concerns about Y with the Council in June 2020. Ms X noted the owner of the freehold contacted her and raised concerns about Y including loud noise, violent arguments, regular police attendance and a large number of visitors.
18. Ms X continued to raise concerns about Y’s behaviour with the Council.
19. In August 2021, Ms X informed the Council she served an eviction notice to Y.
20. Ms X continued to raise concerns with the Council about Y.
21. Ms X evicted Y from her property in April 2023. The Council provided funding to cover Ms X’s legal fees, as detailed in its Opening Doors document.
22. In May 2023, the Council agreed to pay Ms X the full deposit amount because of the damage to the property. The Council advised Ms X, if she did not complete repairs to the property and allow the Council to nominate a tenant, she would need to repay some of the grant it paid in 2019, as per the agreement.
23. Ms X complained to the Council in May 2023. She complained Y was not a suitable tenant, about the costs of the renovation and about the lack of support for Y. Ms X requested a meeting with the Council to discuss the complaint, but it refused.
24. The Council issued its stage one response in June 2023. The response stated it found no evidence the Council did anything wrong.
25. Ms X was not satisfied with the Council’s response and asked it to escalate her complaint to stage two. Ms X repeated her request for a meeting. The Council offered a telephone call but noted it did not see why Ms X could not document the complaint evidence.
26. The Council provided its stage two response in July 2023. The response stated Ms X should claim on her insurance to cover the damage and she would need to repay £2,000 of the grant as she had not fulfilled the contract.
27. Ms X was not satisfied with the Council’s response and has asked the Ombudsman to investigate. Ms X would like the Council to contribute to the costs of repairing the property.
28. In response to my enquiries the Council stated it upheld its obligations in the agreement with Ms X. The Council stated the contract was between Ms X and Y. It confirmed Ms X met Y and agreed to the tenancy. The Council stated Ms X needed to repay the grant money as well as overpaid rent. The Council said Ms X had not suffered any financial losses because of the Council.

My findings

Referring a tenant

29. Ms X wants the Council to contribute to the cost of repairing her property. Y was responsible for the tenancy, not the Council.
30. The Council received a verbal landlord reference for Y in May 2019. Y moved into Ms X’s property in November 2019. The Council did not secure any additional reference for the temporary accommodation it offered between May 2019 and November 2019.
31. The Council Opening Doors document states the Council will complete tenant checks. The Council response stated it completed tenant checks from the last settled accommodation. This is not what the document states. The document states it will complete tenant checks. The check it completed was six months out of date. Y’s conduct in the temporary accommodation may have been relevant to Ms X’s decision about whether to rent to her. The terms of the Council’s scheme meant she reasonably expected it would provide her with this. Not to have done so was fault.
32. Ms X is responsible for deciding who she rents her property to. The Council is correct in saying she decided to rent to Y. However, she based her decision on the information the Council provided.
33. The Ombudsman cannot say Ms X wouldn’t have rented her property to Y if she had a more up-to-date reference. However, the fault caused Ms X uncertainty.

Offering support to Y

34. The Council advised it would not disclose any information about support for Y to Ms X, as it did not have her consent. The Council evidenced its offers of support to the Ombudsman. I am satisfied the Council offered Y support. The Council was not at fault.

Complaint handling

35. Ms X repeatedly explained to the Council, this was a complex matter and she wanted to meet and discuss the details of this case.
36. The Council refused to meet Ms X, saying it “did not fall within the remit of the process”.
37. The Council refused to meet with Ms X throughout the complaint process. The Council did agree to a telephone call when the complaint escalated to stage two.
38. The Council policy states “If the complaint has been received in writing, unless it is fully and comprehensively understood, contact the complainant to arrange a meeting or time for a telephone conversation”. There is nothing in the Council complaint policy to say the Council will not meet with a complainant.
39. The Council refusing to meet with Ms X is fault. It did not follow the complaint process. This fault frustrated Ms X and may have impacted the Council’s ability to investigate this matter.

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Agreed action

40. To remedy the outstanding injustice caused to Ms X by the fault I have identified, the Council has agreed to take the following action within 4 weeks of my final decision:
• Apologise to Ms X for not getting an up-to-date reference on Y and its complaint handling. This apology should be in accordance with the Ombudsman’s new guidance Making an effective apology.
• Pay Ms X £300 as an acknowledgement of the uncertainty the Council’s fault caused her.
• Pay Ms X £300 as an acknowledgement of the time and trouble she has spent pursuing this complaint.
• Remind relevant staff of the importance of providing accurate, up to date information, in accordance with its policies.
• Remind relevant staff of the importance of effective complaint handling.
41. The Council should provide evidence of the actions taken to satisfy the recommendations.

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Final decision

42. I have completed my investigation. I have found fault by the Council, which caused injustice to Ms X.

Investigator’s final decision on behalf of the Ombudsman

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Investigator's decision on behalf of the Ombudsman