Summary: We will not investigate this complaint about damage to a private rented property caused by a tenant funded by the Council. It is reasonable for Mr X to seek a remedy in the courts for the damage caused by a tenant with whom he had a legal agreement.

The complaint

1. Mr X complained about the Council refusing to pay his claim for losses of over £22,000 following damage to his property which he rented to a tenant who was funded by the Council. He says the losses include damage to the house and loss of income from it being in disrepair.

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The Ombudsman’s role and powers

2. The law says we cannot normally investigate a complaint when someone could take the matter to court. However, we may decide to investigate if we consider it would be unreasonable to expect the person to go to court. (Local Government Act 1974, section 26(6)(c), as amended)

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How I considered this complaint

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

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My assessment

5. Mr X rented his Airbnb property to a tenant who the Council funded for rental for a six-month period. He says when the property was handed back it had suffered damage and needed substantial cleaning and replacement of furnishings.
6. He submitted a claim to the Council but it refused to accept the amount he claimed. The Council told him that damages included matters which did not reflect the tenants actions, including a roof repair and that it would only agree to some cleaning and soft furnishing replacement as a discretionary gesture. It advised him to claim off his own insurance for the other damages.
7. The Council confirmed to us that it was not party to the tenancy agreement which was between Mr X and the tenant. The Council only supported the tenant with their housing application and the cost of rental.
8. Because the legal agreement was between the tenant and Mr X as landlord, he should recover any breaches of the terms by action in the courts as in any other private tenancy. The Council has no statutory duty to pay a claim which relates to a third-party legal agreement. We cannot investigate private legal claims as these can only be determined by the courts.

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Final decision

9. We will not investigate this complaint about damage to a private rented property caused by a tenant funded by the Council. It is reasonable for Mr X to seek a remedy in the courts for the damage caused by a tenant with whom he had a legal agreement.

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Investigator's decision on behalf of the Ombudsman