Birmingham City Council (23 010 625)
Category : Housing > Council house sales and leaseholders
Decision : Closed after initial enquiries
Decision date : 15 Oct 2023
The Ombudsman's final decision:
Summary: We will not investigate Mr B’s complaint about the Council’s delay processing his Right to Buy application. This is because it is reasonable for Mr B to serve legal notices on the Council, and if needed, take the Council to court.
The complaint
- The complainant, who I will refer to as Mr B, complains the Council has taken too long to process his Right to Buy application which he started in 2021. Mr B says he has suffered financially because he has been paying rent instead of mortgage repayments and has incurred costs associated with several mortgage applications. Mr B would like the Council to complete the processing of his application and pay him compensation for the costs he has incurred and the anxiety he has suffered.
The Ombudsman’s role and powers
- The Local Government Act 1974 sets out our powers but also imposes restrictions on what we can investigate.
- The Act 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)
How I considered this complaint
- I considered information provided by Mr B.
- I considered the Ombudsman’s Assessment Code.
My assessment
- There is a strict procedure with time limits for each stage of the Right to Buy process. The Housing Act 1985 provides for a Right to Buy applicant to serve a Notice on the Council if they consider it is delaying the sale.
- The Council must either move along the sale or send a counter notice to the tenant explaining what action it has taken or explain why it cannot progress the sale. If the Council does not reply within a month the tenant can complete a ‘operative notice of delay’ form. Any rent the tenant pays while waiting for the Council’s response can be taken off the sale price.
- If a Council still does not act on notices of delay, a tenant may take their dispute to the County Court, under section 181 of the Act. This section of the Housing Act makes provision for an applicant to ask the Court to decide any issue arising during their application to purchase.
- The delay notice process exists to protect buyers’ financial positions with rent paid during a delay and the impact of a delay on future discount repayment arrangements. The law expressly provides this route for Right to Buy disputes, so we normally expect people to use it.
- I find it was reasonable for Mr B, who has a solicitor representing him, to have used this process by serving relevant notices on the Council, and if needed, by taking the Council to court.
- Mr B may also liaise with his solicitor about using this process now.
- So, we will not investigate this complaint.
Final decision
- We will not investigate Mr B’s complaint because it is reasonable for Mr B to serve legal notices on the Council, and if needed, take the Council to court.
Investigator's decision on behalf of the Ombudsman