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Onward Homes Limited (202107633)

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REPORT

COMPLAINT 202107633

Onward Homes Limited

21 September 2021


Our approach

What we can and cannot consider is called the Ombudsman’s jurisdiction and is governed by the Housing Ombudsman Scheme. The Ombudsman must determine whether a complaint comes within their jurisdiction. The Ombudsman seeks to resolve disputes wherever possible but cannot investigate complaints that fall outside of this. 

In deciding whether a complaint falls within their jurisdiction, the Ombudsman will carefully consider all the evidence provided by the parties and the circumstances of the case.

The complaint

  1. The complaint concerns an increase in service charges.

Determination (jurisdictional decision)

  1. When a complaint is brought to the Ombudsman, we must consider all the circumstances of the case as there are sometimes reasons why a complaint will not be investigated.
  2. After carefully considering all the evidence, I have determined that the complaint, as set out above, is not within the Ombudsman’s jurisdiction.

Summary of events

  1. From the information this Service has seen, the resident’s main dissatisfaction is that the landlord has increased the amount of the management fee it charges, which contribute to the landlord’s management and provision of services (outsourced to Contour Property Services). The management fee falls under the overall service charges that the resident pays to the landlord.
  2. The resident asserts that the increase is too high and was implemented with short notice and without proper consultation.
  3. In early 2021, the resident raised a complaint with their landlord about the increase of the management fee. The landlord replied to the resident under stage 1 of its complaints process. The resident remained unhappy with the landlord’s response and escalated the matter, where the landlord then replied to the resident under stage 2 of its complaint process on 19 April 2021. In its response, the landlord explained that it reviewed its costs and fees and benchmarked these against the fees charged by other management agents. In so doing, the landlord had decided to increase its fees.
  4. The resident brought their complaint to this Service in June 2021 and explained that they remained dissatisfied with the outcome and the way the landlord had handled the complaint.

Reasons

  1. Paragraph 39 (g) of the Housing Ombudsman Scheme states that:

The Ombudsman will not investigate complaints which, in the Ombudsman’s opinion: concern the level of rent or service charge or the amount of the rent or service charge increase.

  1. This Service cannot issue a binding decision about a dispute concerning liability to pay rent or service charge items, nor the increase of service charges. This is a matter for the First-Tier Property Tribunal. I am therefore satisfied that this is not a complaint which the Ombudsman can consider further.