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Southern Housing Group Limited (202219555)

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REPORT

COMPLAINT 202219555

Southern Housing Group Limited

30 May 2024


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 how the landlord handled the resident’s reports of faulty storage heaters.
  2. The Ombudsman has also considered the landlord’s complaint handling.

Background

  1. The resident holds an assured tenancy with the landlord for a 5 bedroom maisonette.
  2. Between 8 November 2022 and 30 November 2022, the resident contacted the landlord around 7 times to report that the storage heaters in her home were not working. Subsequently, the landlord arranged for its contractor to attend the property on 2 occasions in November 2022 to try to identify and fix any problems with the heaters.
  3. On 2 December 2022, the resident raised a formal complaint to the landlord via this Service about its handling of her concerns regarding the storage heaters not working, which she said left her without heating or hot water.
  4. On 1 February 2023, the landlord issued a stage 1 response. It determined there had been a service failure in its handling of her storage heater issues, and partially upheld the resident’s complaint. It said that its contractors had confirmed that heating at the property had been left working, but awarded her compensation for lack of hot water and heating until it was reinstated. The compensation totalled £485, and consisted of £60 for repair delays, £50 for delays in handling her complaint, £25 for service failure, and £350 for inconvenience caused to the resident.
  5. The resident escalated her complaint on 23 February 2023. On 13 June 2023, the landlord issued its stage 2 response. It upheld the resident’s complaint and said that she had experienced delays with repairs to the heaters and complaint handling, and poor communication. It offered the resident £50 for delays in handling her complaint, and £30 for service failure. It also explained it had asked for a specialist contractor to investigate the heaters by 7 July 2023.
  6. The resident remains dissatisfied because she believes the heating at the property is not sufficient even when working, and does not understand why the landlord will not install central heating in her home to replace the storage heaters.

Assessment and findings

Scope of Investigation

  1. In her complaint raised with the landlord and her correspondence with the Ombudsman, the resident has said that the problems with her storage heaters have been ongoing since 2019. However, this report will not consider events from that time.
  2. This is in line with the Housing Ombudsman Scheme, which states that we may not consider complaints which were not brought to the attention of the landlord as a formal complaint within a reasonable period which would normally be within 6 months of the matters arising. The resident raised a formal complaint with the landlord via our Service in December 2022, therefore we are only able to look into issues from July 2022 onwards.

The landlord’s handling of the resident’s reports of faulty storage heaters

  1. The landlord’s repairs policy says that emergency repairs will be completed within 24 hours. Routine repairs will be completed as soon as possible. It also says that the landlord is responsible for keeping space heating in working order.
  2. Storage heaters – also known as night storage heaters – contain a heating element that is designed to absorb and store high quantities of heat. The heaters use electricity to heat the element, before releasing this ‘stored’ heat during the course of the following day. According to Citizens Advice, storage heaters are usually designed to be used in conjunction with ‘Economy 7’ electricity tariffs, where electricity is cheaper at night than it is during the day.
  3. Storage heaters also have ‘input’ and ‘output’ settings to control them. The input setting is used at night to control how much heat is stored, and the output setting is used to control the amount of heat released by the heater during the day. The higher this setting, the faster the heat will be released. If the output is set too high, heat may run out by the evening. Some models feature a ‘boost’ setting to be used if a resident runs out of stored heat, but this uses daytime electricity to run and not the stored heat, which can be more expensive.
  4. On 8 November 2022, the resident contacted the landlord to report that the heaters had been “out of order” for 4 days. The landlord’s records show that a contractor subsequently attended on 10 November 2022, and found that the heaters were not “set on the element to be in use.” They subsequently adjusted this, and confirmed all 6 heaters were operational. They also showed the resident how to switch off the booster function if it wasn’t needed. The contractor attended in line with the landlord’s repairs policy timescales for routine repairs, which was reasonable. However, despite doing this and confirming the storage heaters were operational, the landlord provided the resident with 2 fan heaters. It is unclear why it took this action, given the findings of its contractor.
  5. On 28 November 2022, a contractor attended and reset the heaters, reporting that they had “been turned off.” After activating them, the contractor confirmed they were working. The contractor also noted that they spent time at the resident’s premises explaining how the heaters functioned, and told the resident to check she had an economy tariff with her electricity supplier. This was a reasonable and customer focussed approach. The Ombudsman notes that the resident disputed that the heaters were left working at this time.
  6. On 30 November 2022, the resident told the landlord that her heating and hot water was not working. According to the landlord’s records, a contractor attended on the same day and found a problem with the immersion heater at the property. They fixed this, and reported that the hot water was working. This was in line with the landlord’s repairs policy. However, they also told the landlord that a visit from a different contractor would be required to look at the storage heaters, as they were “not coming on at all.” Subsequently, there appears to have been some confusion between the contractors and the landlord as to whether or not the resident was able to make use of her heating.
  7. A visit from a contractor was booked in for 1 December 2022, but it was cancelled at the request of the resident. A new appointment was scheduled for 7 December 2022. The contractor attended and scheduled a follow-up visit for 15 December 2022 to carry out an electrical test to determine a fault with the heaters.
  8. On 15 December 2022, the contractor incorrectly diagnosed that an issue with the resident’s electricity meter was causing problems with the storage heaters. The resident’s energy provider attended on the same day, and confirmed that there was no problem with the electricity meter.
  9. The landlord then suggested that the resident was not on an economy electricity tariff, and that this was potentially causing the issue. It subsequently asked the resident to confirm what tariff she was on, and change it if necessary.
  10. This was reasonable action by the landlord in trying to fix the issue, given that its contractors had reported no fault with the heaters, and the fact that storage heaters are generally designed to run on economy electricity tariffs, which she had been advised of in a previous visit by its contractor in November 2022. Although its contractor had originally made an error in diagnosing the problem, the landlord took subsequent steps to try and resolve it. On 19 December 2022, the resident confirmed she had changed her tariff to an economy one, as advised by the landlord.
  11. In January 2023, the resident reported that despite the changes to her tariff, the heaters were not working. According to the landlord’s records, its contractor was due to attend the property again on 11 January 2023, but no information has been provided to show what the result of that visit was.
  12. In her stage 2 complaint on 23 February 2023, the resident explained that the heaters had not been working properly since she moved into the property in September 2019. A contractor then attended on 9 March 2023, and reported that they had “overhauled 3 heaters” and reported that they were “faulty”, and “not heating up correctly.” The contractor also noted that the installer of the heaters needed to come back to the property. It is not clear from the landlord’s records what the fault was, or whether or not the original installer was asked to attend. There are gaps in the repair records which suggest the landlord did not have full oversight of the situation and what work its contractors had or had not done. This lack of clarity and ownership of the problem meant that the resident was caused further delays in getting it resolved.
  13. On 23 March 2023, the landlord raised a work order for its contractor to attend the property and raise a quote for replacing the storage heaters. The contractor told the landlord it attended the property twice on 23 March 2023 for the job, but could not gain access. It is not clear whether they left a card to make the resident aware of this, which would have been reasonable. It is also of concern that the landlord was unaware of this until its contractor updated it in May 2023. This suggests that the landlord was not monitoring the situation as closely as it could have been.
  14. Additionally, from the information provided there appears to have been some confusion between the landlord and contractor about whether a job to replace the heaters was in process or not, following the landlord’s work order in March 2023 for a quote to replace the heaters. On 17 May 2023, it contacted the contractor for an update on the work order. On 22 May 2023, the landlord confirmed internally that its contractor was waiting for the purchase of new heaters to be authorised. It then asked its contractor whether a repair of the heaters be completed on 9 July 2023, if replacement had not been authorised. However, it is not clear what repair the landlord was asking for, or why a quote for replacement heaters was requested.
  15. On 25 May 2023, the resident’s contractor attended and carried out a reset on all 6 heaters, and reported that all of them were working. They also made sure they were set to the times that the resident wanted them to operate, and provided her with a link to access the user manual for them if she wanted to adjust the settings in future. This was a reasonable approach given how long the issue had been ongoing for. However, it conflicted with what the previous contractor had reported in March 2023 about 3 of the heaters not heating up correctly, which was understandably frustrating and confusing for the resident.
  16. In addition, there is another contractor report from the same time that says the contractor attended on 25 May 2023, found that the storage heaters were ‘brand new’, ‘switched off at the wall’, and reported that the resident did not allow them to look at the heaters, and asked them to leave. It is unclear whether this was the same contractor, or a visit from a different contractor on the same day.  Internal communications from the landlord show that it had no record of the heaters being replaced, and was unsure whether they had been replaced prior to a new contractor taking over the work. Again, this is all unclear due to the landlord’s record keeping.
  17. It is difficult for this Service to determine the exact course of events due to the lack of information, and unclear record keeping. This Service has not been provided with a comprehensive record of communication between the landlord and its contractors. Landlords must keep clear, accurate, and easily accessible records to provide an audit trail of events. This helps the Ombudsman to understand the landlord’s actions and decision-making at the time. If this Service investigates a complaint, we will ask for the landlord’s records. If there is disputed evidence and no audit trail, we may not be able to determine that an action took place or that the landlord acted fairly and in line with its policies. From the information available, the Ombudsman cannot conclude that the landlord proactively engaged with its contractors or the resident to resolve the problem.
  18. Therefore, an order has been made below for the landlord to review its record keeping process, to ensure its records are accurate and up to date, and to avoid the same issue for any future cases. The landlord will also need to provide this Service with evidence of the review it has undertaken.
  19. It also remains unclear why the landlord provided the resident with fan heaters when according to its own repair records, no fault had been identified with the storage heaters. Additionally, one of its contractor’s misdiagnosed the problem in December 2022, and there were other conflicting reports of the problem later. The landlord’s request to its contractor to provide a quote for new storage heaters was also not actioned or followed up on. Given the frequency of the callouts, the inconvenience to the resident could have been avoided had the landlord asked a specialist contractor to attend to identify the problem, as it suggested in its stage 2 complaint response.
  20. On 10 July 2023, the resident told the landlord the specialist contractor had not attended on 7 July 2023. On 13 September 2023, she contacted it again as she had not received a response, and her hot water had ‘stopped working.’ A contractor attended that day and fixed the issue, reporting that the resident would need a new thermostat. It is appropriate that the contractor appears to have attended on the same day the resident reported having no hot water. However, there is no record of a specialist contractor attending to the heaters as the landlord promised. It is also unclear what the status of the heaters is at present from the information available, but the issue does not appear to have been addressed in full by the landlord. Therefore, an order has been made below for the landlord to confirm a visit from its specialist contractor if one has not already been made, and provide this Service with a copy of their findings.
  21. In both its stage 1 and stage 2 responses to the resident, the landlord has confirmed that there were delays in it responding to the resident’s concerns about her storage heating. Where there are admitted failings by a landlord, the Ombudsman’s role is to consider whether, in the circumstances, the redress offered by the landlord put things right and resolved the resident’s complaint satisfactorily. In considering this the Ombudsman assesses whether the landlord’s offer of redress was in line with our dispute resolution principles to be fair, put things right, and learn from outcomes.
  22. In its stage 1 complaint response to the resident, the landlord offered £435 in compensation for the delay in reinstating the resident’s heating and hot water, service failure, and subsequent inconvenience. It also raised a work order for a quote for new storage heaters. This was despite repeated confirmation from its contractors that the storage heaters were functioning. This was in line with the Ombudsman’s remedies guidance for failures which have adversely affected a resident, but where there has been no permanent impact. Additionally in March 2024, the landlord confirmed that it had asked for the resident’s property to have a new heating system installed as a priority, as part of its scheduled upgrade programme. This had originally been scheduled to happen in 2028, so it is reasonable for the landlord to bring it forward, given the resident’s clear concerns about the storage heaters.
  23. However, in its stage 2 complaint response, the landlord offered the resident an additional £30 for “delays with repairs to the storage heaters” as well as other “service delays”, and “poor communication.” It does not seem to have taken into account the 3 month delay in actioning a quote for replacement heaters, which stopped the problem being resolved sooner.
  24. The resident told the landlord on 13 September 2023 that she had not received the compensation. In addition, the resident has said that the fan heaters the landlord had provided were expensive to run, and it is unclear from the information provided whether the landlord reimbursed her for the additional energy costs.
  25. The landlord has therefore been ordered to pay the resident the total £465 in compensation it offered her for her complaint, if it has not already done so. It has also been ordered to contact the resident to obtain receipts or statements, to consider what an average bill would for heating costs for a similar size property, and to reimburse the resident for costs which exceed that. In addition, it has been ordered to pay the resident  an additional £100 in compensation for the delays in obtaining a quote for replacement heaters. This is in line with the Ombudsman’s remedies guidance for failings which a landlord has made some attempt to put right, but where the offer made was not proportionate to the failings identified in our investigation.
  26. It is also of concern that the storage heaters are not ‘designed to give out heat overnight.’ As overnight temperatures are typically colder than in the daytime, this suggests that the heaters are not fit for purpose. The landlord has confirmed that they will be changing the resident over to central heating, but until that work has been completed, it is recommended below that the landlord make arrangements to ensure that the resident is able to benefit from heat during the evenings.

The landlord’s complaint handling

  1. The Ombudsman’s Complaint Handling Code (CHC) is a guidance document that sets out the Ombudsman’s expectations for how landlords should handle complaints. The code encourages landlords to adopt a positive complaint-handling culture that enables them to resolve disputes, improve the quality of the service it provides to residents, and ensure that complaints provide an opportunity for learning and positive improvement.
  2. The landlord’s complaints policy outlines that it operates a two-stage complaints process. The landlord ought to provide a stage 1 response within 10 working days of the complaint being raised, and a stage 2 response within 20 working days of the complaint being escalated. These timescales are in accordance with the CHC.
  3. The resident raised her complaint on 2 December 2022. In accordance with its policy and the CHC, the landlord ought to have issued a response on 16 December 2022. The CHC states that any delays in providing a complaint response must not exceed an additional 10 working days without good reason.
  4. The landlord issued a stage 1 response on 1 February 2023; over 40 days after the resident raised her complaint, and despite it advising the resident that she could expect a response by 23 December 2022, after missing the initial deadline. This is outside the 10 working day response timescale outlined within the CHC and the landlord’s complaint policy. The landlord acknowledged this in its stage 1 response, and offered the resident £50 in compensation for the delay in handling her complaint. This was reasonable, and in line with the Ombudsman’s remedies guidance for service failures of a short duration.
  5. The resident escalated her complaint on 23 February 2023. In accordance with its policy, the landlord should have issued its stage 2 response on 23 March 2023.
  6. A stage 2 response was issued on 13 June 2023, over 60 days after the resident escalated her complaint. Again, this was outside the 20 working day response timescale outlined within the CHC. The landlord recognised this in its stage 2 response and offered the resident £50 in compensation for the delay in providing a response. This again was reasonable, and in line with the Ombudsman’s remedies guidance for service failures of short duration.
  7. Overall, the landlord failed to follow its complaint procedure, which delayed the resident in getting her complaint resolved. However, it recognised these failings, and awarded the resident appropriate redress to remedy them.

 

Determination

  1. In accordance with paragraph 52 of the Housing Ombudsman Scheme, there was maladministration by the landlord in its handling of the resident’s reports of storage faulty heaters.
  2. In accordance with paragraph 53b of the Housing Ombudsman Scheme, the landlord offered redress to the resident for its complaint handling prior to investigation which, in the Ombudsman’s opinion, resolves the complaint satisfactorily.

Orders and recommendations

Orders

  1. In recognition of its failings in the handling of the resident’s reports of faulty storage heaters, the landlord is ordered to:
    1. pay the resident the £465 already offered in its response to her complaint, if it has not already done so.
    2. pay the resident an additional £100 compensation for delays in obtaining a quote for new storage heaters.
    3. contact the resident to obtain receipts or statements, to consider what an average bill would for heating costs for a similar size property, and reimburse the resident for costs which exceed that.
    4. arrange a visit to the resident from its specialist contractor if one has not already been made, in order to establish any storage heater issues. It must provide this Service with a copy of its findings.
    5. review its record-keeping process, to ensure its records are accurate and up to date, and to avoid similar issues for any future cases. It must provide this Service with evidence of the review it has undertaken, and the steps it has put in place to avoid similar issues reoccurring.
  2. The landlord must provide evidence of compliance with the above orders to this Service, within 4 weeks of the date of this report.

Recommendations

  1. The landlord should make arrangements to ensure that the resident is able to benefit from heating during the evenings.
  2. The landlord should pay the resident the £100 in compensation it offered her for complaint handling service failures, if it has not already done so.