Summary: The Ombudsman will not investigate Mr X’s complaint about the rent amount the Council pays for his property. This is because it is unlikely we would find fault by the Council causing Mr X significant injustice.

The complaint

1. The complainant, Mr X, complains the Council is unwilling to pay him a fair amount to lease his property. He asked for an increase but the Council refused. He believes he has been underpaid for the last five years.

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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’. We provide a free service, but must use public money carefully. We may decide not to start or continue with an investigation if we believe:

• it is unlikely we would find fault, or
• the fault has not caused injustice to the person who complained, or
• the injustice is not significant enough to justify our involvement, or
• it is unlikely we could add to any previous investigation by the Council, or
• it is unlikely further investigation will lead to a different outcome, or
• we cannot achieve the outcome someone wants.

(Local Government Act 1974, section 24A(6), as amended)

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How I considered this complaint

3. I reviewed Mr X’s complaint and the Council’s responses. I shared my draft decision with Mr X and invited his comments.

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What I found

4. Mr X leases a residential property to the Council. He says the rent amount has not increased in the last five years and believes it is now approximately £200 per month lower than market value. He is aware of other properties leased to the Council for which landlords are paid more and asked the Council to increase the rent amount. The Council accepted the rent was below market value but explained it could not increase the amount it pays Mr X.
5. The Ombudsman will not investigate this complaint. Mr X has a lease agreement with the Council which runs on a rolling three-month basis. He agreed to the current rental amount but has the option to end the agreement if he thinks this is now not enough. The Council has explained the reasons it cannot agree to a rent increase and it is for him to decide whether to continue with the agreement or to end it. It is unlikely we would find fault by the Council in declining to pay more than required under the lease agreement and the injustice Mr X claims results from his decision to continue with the current agreement.

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Final decision

6. The Ombudsman will not investigate this complaint. This is because it is unlikely we would find fault by the Council causing Mr X significant injustice.

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Investigator's decision on behalf of the Ombudsman