Aster Group Limited (202215791)

REPORT

COMPLAINT 202215791

Aster Group Limited

14 July 2023

Our approach

The Housing Ombudsman’s approach to investigating and determining complaints is to decide what is fair in all the circumstances of the case. This is set out in the Housing Act 1996 and the Housing Ombudsman Scheme (the Scheme). The Ombudsman considers the evidence and looks to see if there has been any ‘maladministration’, for example whether the landlord has failed to keep to the law, followed proper procedure, followed good practice, or behaved in a reasonable and competent manner.

Both the resident and the landlord have submitted information to the Ombudsman, and this has been carefully considered. Their accounts of what has happened are summarised below. This report is not an exhaustive description of all the events that have occurred in relation to this case, but an outline of the key issues as a background to the investigation’s findings.

The complaint

1.     The complaint is about the landlord’s handling of reports of damp and mould within the resident’s property.

2.     The Ombudsman has also looked at the landlord’s complaint handling.

Background

3.     The resident is an assured tenant of the landlord.

4.     On 18 February 2020, the resident submitted a complaint to the landlord. She explained that there were still unresolved issues from her original complaint sent to the landlord in 2015. The resident explained that she reported and complained about damp and mould issues in 2015 and the works agreed by the landlord had still not been completed to resolve the issue. The resident stated as part of her February 2020 complaint that there was damp in most rooms and the damp on the chimney breast was getting severely worse.

5.     The landlord provided its stage one complaint response to the resident on 30 March 2020. The landlord explained that its surveyor visited and carried out an inspection of the resident’s property on 16 March 2020. As a result of the inspection, the landlord stated that it would arrange for extractor fans to be installed in the kitchen and bathroom. It also proposed to remove the chimney structure. The landlord also offered £100 compensation to the resident for the distress and inconvenience for not completing all the works in a timely manner.

6.     On 26 April 2020, the landlord provided its stage two complaint response to the resident. It explained that it proposed to leave some damp monitors at the resident’s property, during the period of October 2020 to March 2021. The landlord stated it would arrange for its specialist window contractor to inspect the lounge windows and rectify any defects. The landlord also proposed to remove the chimney stack above roof level. The landlord explained it was unable to provide a timescale for the works, as it was only completing critical works due to COVID-19 restrictions.

7.     On 8 June 2020, the landlord provided a further complaint response. It named the response a stage two second letter complaint response. The landlord stated it would carry out a range of works. These included removing the chimney structure and extending the roof covering, inspecting the cavity and insulation within the kitchen. Also arranging for a specialist contractor to survey the cavity wall and loft insulation. The resident requested the complaint to be escalated further. It appears that the landlord considered providing a stage three complaint response, in line with its internal complaints process, however it then chose to issue a stage four complaint response instead.

8.     On 6 April 2022, the landlord provided its stage four complaint response to the resident. This was its final response. It acknowledged and apologised that it had failed in its service to the resident. The landlord explained that it still needed to install the extractor fans in the bathroom and kitchen. It also stated that it would arrange for a structural engineer to inspect the floor in the resident’s dining room. The landlord offered the resident £500 compensation and offered to treat the mould and redecorate the affected areas in her bathroom or bedrooms. In addition, the landlord offered an alternative option of a further £200 compensation or decoration vouchers if she preferred to redecorate the affected areas herself. This option brought the total compensation amount to £700. 

9.     The resident remained dissatisfied with the landlord’s response and submitted her complaint to the Ombudsman. She stated that her desired outcome was for the landlord to commission an independent surveyor to identify the root cause of the damp and carry out the identified remedial works.

10. After the resident submitted her complaint to the Ombudsman, the landlord arranged an independent full surveyor inspection which was conducted by a contractor. The inspection was completed on 24 March 2023.

11. The landlord confirmed on 16 June 2023, that all the works referenced in its stage four complaint response were still outstanding. The works which are outstanding include the installation of the extractor fans in the bathroom and kitchen and arranging for a structural engineer to inspect the floor in the resident’s dining room. The treatment of the mould and redecoration of the affected areas in her bathroom and bedrooms is also outstanding. The surveyor’s report also referenced similar works but suggested investigating a possible water leak in the kitchen, removing, and replacing the water damaged insulation, levelling the dining room and kitchen floor, windowsill works and a camera survey for the sewer pipe.

Assessment and findings

The landlord’s handling of reports of damp and mould within the resident’s property

12. The landlord’s condensation and mould policy states that all initial reports of condensation, damp and mould should receive a level one inspection. It then states if the issue continues, a further investigation by the initial surveyor should be completed and then possibly be escalated to a level two inspection. The policy explains that a level one inspection involves a property survey to identify any defects or repairs required to the fabric of the building. The survey is also to confirm whether faults within the property have contributed to the mould. A level two inspection includes an in-depth survey and investigation, such as a cavity wall insulation check, damp monitors and moisture tests.

13. The Ombudsman recognises that the landlord followed its mould and condensation policy, as it arranged a surveyor inspection of the resident’s property within a reasonable period after she reported damp and mould in February 2020. However, it is evident that there were delays in the landlord completing the proposed works.

14.  Initially there were delays by the landlord in completing the agreed work, due to Covid-19 restrictions which came into place in March 2020. The Ombudsman recognises that the delay due to Covid-19 restrictions would have been out of the landlord’s control. The landlord informed the resident that it would only be conducting urgent works whilst the Covid-19 restrictions were in place, in line with government guidance to reduce contact between households. However, after the COVID-19 restrictions were lifted there were still delays in the landlord completing the agreed works. The further delays by the landlord were unreasonable and it has resulted in the resident awaiting several years for the agreed works to be completed to resolve the damp and mould issue. Damp and mould can pose a significant risk to health and therefore the delay in completing work to resolve this was unacceptable.

15.  The Ombudsman contacted the landlord on 5 June 2023 to confirm whether it had carried out all the agreed works which were referenced in its stage four complaint response and surveyor report dated 24 March 2023.

16.  The landlord confirmed on 16 June 2023 that all the works were still outstanding, and it would be working with the resident to complete the outstanding works. As there has been a significant delay in the landlord completing the works to resolve the damp and mould issue the Ombudsman requires the landlord to draw up a schedule of the required works which includes approximate timescales of when the works will be carried out. The Ombudsman acknowledges that some of the work such as levelling the floor may take a while to complete. In addition, whilst the works are being carried out, the landlord should consider whether the property is safe and fit for habitation for the resident and her family. If the property is not safe and/or is unfit for habitation, the landlord should offer the resident temporary accommodation until the property is safe for her to move back to.

17. The delay in resolving the damp and mould issue, would have caused significant distress and inconvenience to the resident. The Ombudsman recognises that it must be very difficult for the resident and her family living in property with damp mould conditions for such a long period of time, especially as the resident’s children are also living at the property.

18. The landlord has acknowledged during its own internal complaints process that there have been delays in completing the proposed works to resolve the damp and mould issue. The landlord apologised to the resident in its stage one complaint response and final response for the delays in completing the works. The landlord initially offered the resident £100 compensation in its stage one complaint response to recognise the delay. The landlord then increased its offer of compensation in its final response letter to recognise the further delays. The landlord offered the resident £500 compensation and offered to treat the mould and redecorate the affected areas in her bathroom or bedrooms. In addition, the landlord offered an alternative option of a further £200 compensation or decoration vouchers if she preferred to redecorate the affected areas herself. This option brought the total compensation amount to £700. 

19. On 16 June 2023, the landlord made a further increased offer of compensation. The landlord offer increased its compensation to £900 for its handling of the damp and mould at the resident’s property. The landlord stated that the compensation was to recognise the additional delays in the landlord completing the agreed works to resolve the damp and mould within the resident’s property. It was also for failing to acknowledge the resident’s communication regarding the outstanding works.

20.  The Ombudsman acknowledges that the landlord not completing the agreed works to resolve the damp and mould issue was unreasonable and would have caused the resident significant distress. However, in the Ombudsman’s opinion, the compensation of £900 offered by the landlord is reasonable and proportionately recognises the significant delay and distress the resident would have experienced. The amount of compensation offered by the landlord is compliant with the Ombudsman’s Remedies Guidance (published on our website), which sets out the Ombudsman’s approach to compensation. The Remedies Guidance suggests awards of £600 to £1000 where there has been a serious failure by the landlord which had a significant impact on the resident.

21. The Ombudsman recognises that the landlord identified that there was a failure in its handling of the damp and mould at the resident’s property. However, the increased offer of £900 was only recently offered to the resident on 16 June 2023 and there are still works outstanding to resolve the damp and mould issue. Therefore, there has been maladministration in the landlord’s handling of the damp and mould at the resident’s property. The landlord needs to take further steps to put things right for the resident by completing the outstanding repairs.

The landlord’s complaint handling

22. The Ombudsman’s Complaint Handling Code (The Code) sets out the Ombudsman’s expectations for landlords’ complaint handling practices. The Code states a landlord’s complaints procedure should comprise of two stages. It also states that the Ombudsman does not believe a third stage is necessary as part of a complaints process but if a landlord strongly believes it requires one, it should set out its reasons as part of the self-assessment against the Code. The Code also states that a process with more than three stages is not acceptable under any circumstances in the Ombudsman’s view.

23. The landlord’s complaints policy, which was effective from 1 May 2021, states that there are two stages to its formal complaints process, each with clear timescales.

24. The landlord provided a total of four complaint response letters to the resident between March 2020 and April 2022. The Ombudsman acknowledges, when the landlord issued its stage one and two complaint responses, that The Code was not yet in place. However, when the landlord provided its stage four complaint response on 6 April 2022, The Code was in place. In addition, the landlord’s own complaints policy dated May 2021 stated that its complaints process consisted of two stages. Therefore, it was unacceptable to issue a stage four complaint response to the resident.

25. The landlord providing multiple complaint responses, resulted in the landlord’s complaints procedure lasting around two years. The delay would have caused avoidable inconvenience for the resident, and she was delayed in progressing the complaint to the Ombudsman because she needed to wait for the landlord’s final response before contacting our service. The delay was unacceptable.

26. The landlord has recently acknowledged in its letter dated 16 June 2023, which was sent to the resident and this service, that there were delays in its complaint handling. It apologised for its complaint handling and offered the resident £250 compensation to recognise the delay and failure. In the Ombudsman’s opinion, the compensation of £250 does not proportionately reflect the impact of the delay. Given the significant delay it would be appropriate for the landlord to pay the resident further compensation of £100 for the distress and inconvenience caused. This amount is in addition to the £250 the landlord offered through its complaints process. The amount of compensation is appropriate to recognise the significant delay the resident experienced. The amount of compensation awarded is in line with the Ombudsman’s Remedies Guidance referenced above.

27. This Service recognises that the landlord eventually identified the delays with its complaint handling and offered compensation in view of this. However, this was not identified until the resident’s complaint was submitted to the Ombudsman and the offer was only recently made in June 2023. This offer should have been made as part of the complaints process and the resident should not have needed to approach the Ombudsman for the landlord to make a reasonable offer. Therefore, there has been severe maladministration in the landlord’s complaint handling.

Determination (decision)

28. In accordance with paragraph 52 of the Housing Ombudsman Scheme, there was maladministration in the landlord’s handling of reports of damp and mould within the resident’s property.

29. In accordance with paragraph 52 of the Housing Ombudsman Scheme, there was severe maladministration in the landlord’s complaint handling.

Orders

30. Within four weeks of the date of this report, the landlord is to draw up a schedule of the required works to resolve the damp and mould issues. The schedule is to include timescales of when the works will be completed. A copy of the schedule should be sent to the resident and to this Service.

31. The landlord to pay the resident the £900 compensation it offered in its letter dated 16 June 2023 for its handling of the damp and mould within the resident’s property.

32. The landlord to pay the resident an additional £100 compensation for its complaint handling. This amount is in addition to the £250 it offered in its letter dated 16 June 2023 for its complaint handling.

33. These payments should be made within four weeks of the date of this report.

Recommendations

34. It is recommended that the landlord carries out staff training to ensure that the number of complaint responses issued to the residents is in line with the Ombudsman’s complaint handling code.