Sovereign Network Homes (Former Network Homes) (202326330)

REPORT

COMPLAINT 202326330

Sovereign Network Homes (Former Network Homes)

21 October 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

The complaint is about the landlord’s handling of:
1. The resident’s request for a management transfer.
2. The resident’s reports of leaks, damp and mould and the subsequent repairs.

Background

The resident lives in the property, owned by the landlord, under an assured tenancy. The property is a 2-bedroom house and she lives there with her husband and 2 children. The landlord has not recorded any vulnerabilities, however it has previously been made aware that the resident’s children have asthma and breathing problems.
The resident started a disrepair claim against the landlord via a solicitor in January 2020, citing problems with a defective roof, leaks, damp and mould. On receipt of this the landlord carried out a survey and completed work in June 2020. The resident started a further disrepair claim via a different solicitor in March 2021, however this does not appear to have been followed up.
The resident did not contact the landlord again about the damp and mould issues until 14 October 2022, when she requested a management move due to disrepair and overcrowding. On 20 October she emailed the landlord again saying that the property was unfit to live in.
On 7 December 2022 the landlord carried out a damp and mould inspection. This noted that the resident reported that her children had asthma, breathing problems and rashes. It said that mould was present throughout the property and that a new fan in the bathroom could improve matters. It said that a previous roof leak had been repaired but that water ingress had not been resolved and that the guttering was in poor condition.
The landlord carried out a mould wash on 14 December 2022, however on 9 January 2023 the resident reported that the mould had returned. She again asked for a transfer due to overcrowding and disrepair. On 16 January the landlord told her it had raised a job for the extractor fan and would be in touch by 18 January.
The next record the landlord has provided is an email to the resident on 2 June 2023, acknowledging that she had been chasing for an update. It said it was still waiting for a report from a surveyor inspection from 24 February so it could book follow on work. On 13 July the landlord received the report which said there was mould throughout the property and the roof was leaking.
On 31 October 2023 the landlord emailed the resident to give her information about her options for moving house. It said its policy only allowed for a move where the resident’s life was at risk, which it did not deem it to be. It said that she would need to contact the local authority with proof that she and her family were overcrowded.
On 13 December 2023 the resident raised a complaint to the landlord. She said that the damp and mould issues had been going on since before 2019 and the landlord had just covered up symptoms. She also complained that the property was overcrowded.
On 21 December 2023 a contractor confirmed by email to the landlord that no work had been carried out on the extractor fan. It said it was working fine when it visited in March 2023. The landlord’s internal records of 28 December said that a job had been raised on 18 July for damp and mould and was ongoing. It said that a roof repair had been raised on 10 October but had been cancelled the next day.
The landlord sent its stage 1 response on 9 January 2024, in which it said:
1. A survey was carried out on 13 July 2023 and work was raised on 18 July, including mould washes and treatment with anti-mould paint. The landlord’s contractors attempted to call the resident on 27 September to book an appointment and left a voicemail.
2. After her complaint was received a new appointment was booked for 9 January 2024 to repair or replace the extractor fan.
3. Mould work was completed on 4 January 2024 and an electrician was scheduled to visit on 9 January. The mould work was outside of the expected timescale due to poor planning by contractors.
4. A job was raised to repair a leak in the roof. It was cancelled the following day and issued to a different contractor, who never received the job. This was reraised with the contractor with an appointment to be set no later than 19 January 2024. The roof repair was delayed due to an IT issue and human error.
5. It acknowledged her comments about overcrowding, but said that it does not manage transfers. It said she would need to contact her local authority and ask to join their housing list.
6. The landlord offered the resident compensation of £720.
A roof inspection was carried out on 24 January 2024. This found that there was ductwork around the loft with quite a lot of moisture inside and some insulation work was required. It found that some compound on the roof had eroded and work was carried out to install lead flashing to keep water flowing down the roof. The gutters were heavily blocked and debris was cleared from them at this time.
The resident asked for her complaint to be escalated on 6 February 2024. She said that repairs were still outstanding and a contractor had failed to turn up on 16 January. She reiterated the impact on her family’s health and said that their belongings had been damaged by damp and mould.
The landlord sent its stage 2 response on 14 March 2024, in which it said:
1. It had carried out an inspection on 24 January 2024 and found that there was some insulation missing and erosion on the roof. A job was raised on 5 March for the insulation and a contractor attended that day. However, work could not be completed due to the loft being full of the resident’s belongings.
2. An electrician attended about the extractor fan on 16 February, however only her son was present. As he was not 18 work could not be carried out. It said it did not have any record of a missed appointment on 16 January but offered £30 compensation for this missed appointment.
3. It said that it was not treating the current problems as a continuation of problems several years earlier due to the time that had passed. Her disrepair claims had not been settled as her solicitors stopped responding.
4. It reiterated its stance on transfers and again directed her to contact her local authority.
5. It offered her total compensation of £1,200 (including £30 for the missed appointment) and asked her to send it a list of her damaged items so it could review this.
On 25 March 2024 a contractor attended to install loft installation. The extractor fan needed to be replaced and a new one needed to be ordered, so this work was not completed. On 27 March the resident contacted this Service and asked us to investigate the complaint as she remained unhappy with the landlord’s response.
The extractor fan was replaced on 26 April 2024. The resident told this Service that the contractor told her that the previous fitting had been carried out incorrectly which had led to a reoccurrence of damp in the bathroom. She said that repairs to the roof were still outstanding and leaks were still occurring in her daughter’s bedroom. She also said mould and damp work had been ineffective, and the bathroom extractor fan was still not working all of the time.
The landlord carried out a further roof survey on 30 August 2024, which found no broken or damaged tiles and the front gutters were clear. It found that the gutters at the rear of the property were blocked and these were cleared. A previous repair was secured with lead flashing. It confirmed that insulation in the loft had been changed but it did not look like it had been wrapped around the wall plate. It could not investigate further as the loft was full of the resident’s belongings.
On 19 September 2024 the landlord emailed the resident to say that it had not fully investigated her complaint and she was due further compensation. It amended its compensation offer to £3,080, broken down as follows:
1. High distress – 64 weeks at £20 totalling £1,280.
2. High delay – 64 weeks at £20 totalling £1,280.
3. High time and trouble – 64 weeks at £5 totalling £320.
4. £200 for complaint handling failures.
The landlord said that it appeared that insulation had not been installed correctly so it had gone back to the contractors who had carried out this work.

Assessment and findings

Scope of the investigation

What the Ombudsman can and cannot consider is called the Ombudsman’s jurisdiction. This is governed by the Scheme. When a complaint is brought to this service, the Ombudsman must consider all the circumstances of the case, as there are sometimes reasons why a complaint, or parts of a complaint, will not be investigated.
The resident raised disrepair claims to the landlord via solicitors in January 2020 and March 2021, however no complaints were raised at these times. Following contact from the resident’s solicitor in March 2021, this Service has seen no evidence of further contact from the resident until October 2022.
The historical issues provide contextual background to the current complaint. However, this investigation has primarily focused on the landlord’s handling of the resident’s recent reports from October 2022 onwards, that were considered during the landlord’s complaint responses.
This is because in accordance with paragraph 42(c) of the Housing Ombudsman Scheme, residents are expected to raise complaints with their landlords normally within 12 months of the matters arising. This is so that the landlord has a reasonable opportunity to consider the issues whilst they are still ‘live’, and while the evidence is available to reach an informed conclusion on the events that occurred.
The landlord has said that a recent report carried out on 12 September 2024 does not relate to the repairs it investigated during this complaint process. However, as repairs were ongoing throughout this period, this investigation will look at whether the ongoing roof repairs are relevant to the issues being investigated.
The resident has also raised concerns about her family’s health and the impact on this by the issues raised. Whilst this service is an alternative to the courts, it is unable to establish legal liability or whether a landlord’s actions or lack of action have had a detrimental impact on a resident’s health. Nor can it calculate or award damages. The Ombudsman is therefore unable to consider the personal injury aspect of the resident’s complaint. These matters are likely better suited to consideration by a court or via a personal injury claim. This investigation will, however, consider any distress and inconvenience caused.

Transfer request

The landlord’s allocations policy states that from April 2022 its internal transfer list was removed. It says it will only offer new internal transfers in the following circumstances:
1. Underoccupancy.
2. Older person wanting to move into older persons accommodation scheme.
3. Management transfer where there is a severe or immediate risk to life due to issues such as domestic abuse.
The landlord says that to tackle overcrowding it will work in partnership with the local authority and promote mutual exchanges.
The resident first told the landlord that she wanted a transfer due to overcrowding on 14 October 2022. Regardless of the landlord’s policy on transfers, it should have responded to the resident. This Service has seen no evidence that the landlord acknowledged or responded to her concerns about overcrowding at this time, which was not appropriate.
On 31 October 2023 the landlord emailed the resident, thanking her for reaching out to it regarding her housing situation. This Service has not seen a copy of the contact from the resident which prompted this response. In this email the landlord told the resident that transfer requests should be discussed directly with the local authority. It said that the local authority would need proof of the overcrowding and provided a list of typical documentation she could provide to evidence this.
The landlord also provided a list of housing alternatives such as Homeswapper and HomefinderUK. This email was clear on what the resident could do to register for a housing transfer, and was a reasonable response from the landlord. It reiterated that the resident needed to contact the local authority to request a transfer in both of its complaint responses.
The Ombudsman considers there to have been service failure by the landlord in its handling of the resident’s request for a management transfer. When the landlord did respond to the resident’s request its response was fair and in line with its policy. It communicated clearly and set out the resident’s options for arranging a move.
However, the landlord failed to respond to the resident’s initial request for a transfer, and it only provided this information a year later, which was not reasonable.
An order has been made for the landlord to pay the resident compensation of £100 to recognise the distress and inconvenience caused by the delay in it providing the resident with a response on this issue.

Leaks, damp and mould

The landlord has a statutory duty under Section 11 of the Landlord and Tenant Act 1985 to keep in repair the structure and exterior of the property. The landlord has a responsibility under the Housing Health and Safety Rating System (HHSRS) introduced by The Housing Act 2004, to assess hazards and risks within its rented properties. Damp and mould growth are a potential hazard and therefore the landlord is required to consider whether any damp and mould problems in its properties amount to a hazard and require remedying.
The landlord’s repairs policy sets out the following repairs categories and timescales:
1. Emergency repairs, such as no power or an uncontrollable flood – it aims to attend within 4 hours and make safe.
2. Routine repairs – it aims to attend within 2 weeks of there resident reporting the issue, at a time that is mutually convenient. It aims to complete most repairs within a calendar month.
3. Complex repairs, such as roof or major problems – it aims to complete repairs within 90 days.
The resident contacted the landlord on 14 October 2022 to say that there was damp and mould in the bedrooms and bathroom. She said this had reoccurred after previous treatment and repainting. She said that rain water was also leaking into the loft, which was causing mould that grew back each time she cleaned it off.
The landlord carried out a damp and mould inspection on 7 December 2022. This was not in line with its timescale for routine repairs and this Service has seen no evidence it had offered earlier appointments within 2 weeks of the residents report.
This inspection found damp and mould present in both bedrooms, the bathroom and the living room. It said the kitchen and bathroom extractor fans worked but a new fan in the bathroom could improve conditions, and an extractor fan on the landing was not working. It noted that there had been a previous roof repair but that water ingress into one bedroom had continued, and the guttering was in poor condition. The report noted that there were 2 children with asthma and breathing problems living in the property.
The landlord carried out a mould wash on 14 December 2022, which was within a reasonable timeframe following the survey. However, the resident made it aware on 9 January 2023 that the mould had quickly returned. She also chased up the upgrading of the extractor fan in the bathroom.
The landlord raised a job for the extractor fan on 16 January 2023 and said it would be in touch by 18 January. A contractor later confirmed to the landlord that this visit did take place in March 2023 and it found the fan working fine so did not repair or replace it. This visit took place outside the landlord’s timescale for repairs and the contractor appears to have disregarded the recommendation of the surveyor.
The landlord carried out a further surveyor inspection on 24 February 2023. On 2 June 2023 the landlord told the resident it was still waiting for a report from the surveyor. There is no evidence the landlord proactively chased up this report, despite the resident’s reports of mould.
The landlord received the report from the surveyor on 13 July 2023, almost 5 months after the survey was carried out. This noted damp and mould throughout the property and set out a list of repairs that needed to be completed, including installing vents, applying mould wash and anti-mould paint. It raised a job for this work on 18 July, however its contractors did not attempt to make contact with the resident until 27 September, which represented an unreasonable delay.
The landlord said that the contractor could not make contact with the resident and left a voicemail. There is no evidence that the landlord or its contractor attempted to make contact with her again to get an appointment booked, until 4 January 2024, after the resident had raised the complaint. Where the landlord is aware that there is a potential hazard it should continue to try to book a mutually agreeable appointment, and should not only make one attempt to do this. So, the landlord’s actions were not reasonable in this respect.
On 10 October 2023 the resident reported a leak through the ceiling when it was raining. The landlord raised a job with a contractor which was cancelled the next day. On 11 October it raised a new job with a different contractor who never received the job. The landlord’s handling of this job was inappropriate. It should have had mechanisms in place to ensure jobs were correctly received by contractors.
The resident raised the complaint on 13 December 2023, as she was unhappy that the repairs issues were outstanding. In its stage 1 response of 9 January 2024, the landlord said that mould work had been carried out on 4 January and an electrician was scheduled for 9 January to inspect the bathroom extractor fan. It said that the delay to the roof repair was due to an IT issue and human error and that it was now monitoring this repair to completion. It said an appointment would take place no later than 19 January.
The landlord offered compensation of £720, calculated for delays between 30 August 2023 and 4 January 2024. This was calculated as 18 weeks at £20 for both high impact delay and high impact distress, totalling £360 for each element. The time period the landlord used for this calculation was not appropriate as it discounted the delays where it had failed to progress repairs between its survey on 7 December 2022 and 30 August 2023.
The landlord’s contractor carried out a roof inspection on 24 January 2024, outside the timescale it had promised in its stage 1 response. This inspection found staining and damp along the front and back wall line. It inspected the loft and found no insulation around the wall plate. It also found that there was ductwork lying around the loft with quite a lot of moisture inside and insulation work was needed.
The roof was inspected and it found that compound had eroded where a ridge runs into the roof. The contractor installed lead flashing to cover the ridge and also cleaned debris from the rear gutters which it said were heavily blocked.
The resident contacted the landlord on 6 February 2024 and asked for the complaint to be escalated. She said that a contractor had failed to turn up on 16 January and that the roofer who visited on 24 January had confirmed there were problems with the roof. She said that the issues had impacted her family’s health and damaged their belongings.
The landlord’s internal records said that the resident had cancelled an appointment for the extractor fan with the contractor for 9 January 2024, however it had no record of this being rebooked for 16 January. The appointment was rebooked for 16 February but could not go ahead as only the resident’s underage son was present. This was a reasonable action by the landlord and the appointment was rebooked for 20 February.
The landlord sent its stage 2 complaint response on 26 February 2024. It said that it had carried out work to the roof on 24 January and had raised a job for the loft insulation on 5 March and attended the same day. It could not carry out work as the loft needed to first be cleared of the resident’s belongings. It is not unusual for loft spaces to be used for storage. This Service has seen no evidence the landlord gave the resident prior notice of this appointment to allow her time to clear the loft, which would have been appropriate.
The landlord explained that it did not have a record of an appointment booked for 16 January 2024, but offered compensation of £30 for a missed appointment which was a reasonable gesture. It said that there was now an appointment booked in for 25 March.
The landlord increased its compensation offer to take into consideration a further 8 weeks of delays from 4 January until 14 March 2024. It also offered £5 per week for 26 weeks for high impact time and trouble. This brought its total compensation offer, including the missed appointment payment, to £1,200.
The landlord asked the resident to send a list of damaged items so it could review these, which is in line with what this Service would expect it to do. The resident has confirmed to this Service that she has not yet provided the landlord with a list of damaged items, but is planning to do so. The landlord should refer this to its liability insurer when it is received.
The landlord’s contractors visited on 25 March 2024 to install the loft insulation and inspect the extractor fan. It was found that the fan needed to be replaced, which needed to be ordered. The fan was then replaced on 26 April 2024. This Service has not seen any records to show whether the previous fan was correctly installed. However there were 16 months between a surveyor first noting a problem with the fan in December 2022 and the replacement being installed which represented an unreasonable delay.
The landlord arranged for a further roof survey on 30 August 2024, which found that the gutters at the rear of the property were blocked again, and these were cleared. A previous repair to the roof needed to be secured with lead flashing and it was found that the insulation previously installed was not done correctly and was still not wrapped around the wall plate.
The landlord contacted the resident on 12 September 2024 to say that it had not fully investigated her complaint. It said that it should have completed repairs within 6 weeks of the inspection on 7 December 2022, so it had reconsidered the period for compensation as being from 1 February 2023 until 26 April 2024. It increased its offer of compensation for this issue to £2,880. It also offered £200 to recognise its complaint handling failures. This award was calculated in line with its compensation policy, however it has omitted the £30 it had previously offered for a missed appointment.
Whilst the landlord did calculate this compensation in line with its policy, the time period it used to calculate this did not cover all of the detriment. The problems with the roof and insulation have not been resolved, and the extractor fan work did not resolve the damp and mould problems. So, the overall redress was not enough to recognise the full extent of the impact of this issue.
The Ombudsman expects landlords to recover service failures and complete actions, such as repairs, after it has provided its final response to the resident. However, it is not in the spirit of this Service’s dispute resolution principles or our complaint handling code for a landlord to make a substantial offer of redress at the end of a protracted process, with the effect that the Ombudsman will either not consider the matter further or find that there has been reasonable redress. The landlord should have fully investigated the complaint and offered appropriate redress during its internal complaints process.
The Ombudsman considers there to have been severe maladministration by the landlord in its handling of the resident’s reports of leaks, damp and mould and the subsequent repairs. The landlord should have carried out a full investigation during its complaints process and offered redress for the full period at that time.
The landlord was repeatedly told that the resident’s children were suffering from asthma and breathing difficulties. No evidence has been provided that it carried out a risk assessment or considered decanting the resident and her family so that lasting repairs could be carried out. The landlord did not demonstrate that it took its obligations under the HHSRS seriously or understood that the poor conditions could impact on the household’s health.
The landlord has considered matters fully resolved on 26 April 2024, when the extractor fan was replaced. However, it is clear from subsequent contact from the resident, and a further roof inspection, that the underlying cause of the damp and mould has not yet been resolved. The landlord’s contractor has had to carry out remedial work following roof repairs and unblock the guttering again.
Following the surveyors report in December 2022 finding that the guttering was in poor condition, there is no evidence that the landlord has considered whether this needs replacing to avoid further problems. It is also evident that the insulation was not installed correctly and this Service has seen no confirmation that this has been rectified.
The landlord has been ordered pay the resident further compensation of £1,000 to recognise the continued impact on the resident and her family of the landlord’s failure to resolve the problems. This has been calculated with the landlord’s compensation policy in mind. This brings the total compensation for this issue to £3,910, including the amount offered by the landlord on 12 September 2024 and the £30 offered for a missed appointment.
Orders have also been made for the landlord to arrange remedial work to the loft and carry out a damp and mould survey and roof inspection. Copies of the reports and associated schedules of work should be provided to the resident and this Service.

Determination

In accordance with paragraph 52 of the Scheme, there was:
1. Service failure by the landlord in relation to its handling of the resident’s request for a management transfer.
2. Severe maladministration by the landlord in relation to its handling of the resident’s reports of leaks, damp and mould and the subsequent repairs.

Orders

The landlord to pay the resident total compensation of £4,010, less any amount already paid during its internal complaints process, broken down as follows:
1. £100 in relation to the resident’s request for a management transfer.
2. £3,910 in relation to the leaks, damp and mould.
A director at the landlord to issue the resident with a written apology.
The landlord to arrange an appointment to carry out remedial work to the loft insulation.
The landlord to carry out a risk assessment based on the household’s health conditions and work required. It should consider all appropriate options to reduce any risk and provide an explanation of any proposals to the resident and this Service.
The landlord to provide evidence of compliance with the above orders to this Service within 28 days of this report.
With 8 weeks of this report the landlord to:
1. Carry out a further roof inspection to identify if any further external remedial work is required, including whether the guttering needs replacing. A copy of the report and a schedule of works, if required, to be provided to the resident and this Service.
2. Carry out a damp and mould survey and identify any internal work that is required. A copy of the report and a schedule of works, if required, to be provided to the resident and this Service.

Recommendation

The landlord to pay the resident compensation of £200 in relation to its complaint handling, as offered on 12 September 2024, if it has not already done so.