Social landlord improves rent arrears and complaint handling after major failings

A leading social landlord says it has carried out a significant overhaul of its operations after it wrongly informed a tenant that she owed more than £10,000 in unpaid rent.

That led to the Housing Ombudsman mandating an independent evaluation of Housing for Women’s rent recovery methods due to serious shortcomings in managing accounts and arrears.

The landlord had erroneously claimed the resident was liable for a hefty sum, which was later adjusted to £2,000 after the tenant contested the figure.

Despite this correction, the landlord proceeded with threats of legal action.

Just two days after Christmas, the tenant received a possession notice from the court, risking eviction.

Distressed and ignored by the landlord when she lodged a complaint, the resident turned to the Ombudsman for assistance.

Heavy-handed stance

Richard Blakeway, Housing Ombudsman, said: “Throughout this case the landlord took an adversarial and heavy-handed stance towards the resident, despite her regularly expressing the impact of legal threats were having on her well-being.

“There can be an inherent imbalance of power between resident and landlord, and this case exemplifies it, very nearly leading to a family being unfairly evicted.

“Landlords have to do their job and residents have obligations to fulfil too, but the landlord’s handling was fundamentally flawed, and the complaint is littered with missed opportunities to reflect with a dismissive attitude, including of the Ombudsman, from the outset.”

He added: “Even were its actions right, landlords should consider how to adopt the right tone given the life-changing impact that eviction could have.”

Landlord practices reviewed

The tenant said that the landlord’s conduct left her ‘struggling to cope’ as the landlord disregarded proof of her payments and her requests for access to the online rent portal.

That exacerbated her mental health issues as legal proceedings continued.

Following intervention, the Ombudsman not only investigated the unresolved complaint but also prompted a review of the landlord’s practices to prevent similar issues.

Since then, Housing for Women has introduced improved procedures, safeguards and employee training focused on better arrears management and customer complaints resolution.

The landlord has updated its complaints protocol to align with the Complaint Handling Code, adopting a more compassionate stance.

The Ombudsman’s report highlighted communication tone as a critical factor influencing resident service quality, noting the landlord’s previous dismissive and unsympathetic interactions.

Factors for service breakdown

Housing for Women attributed several lapses to an individual staff member, who faced performance management and eventual dismissal.

It also acknowledged a lack of senior oversight and financial team comprehension as contributing factors to the service breakdown.

In its learning statement, the social landlord admitted to severe maladministration in handling the tenant’s account and responding to her grievances.

The review pinpointed failures in recognising the tenant’s vulnerability, absence of high-level supervision, and repeated neglect of her concerns.

It said: “We are confident that the lessons learnt from this case have made our policies and processes more robust and ensured we have introduced effective monitoring of complaints and arrears management, ensuring that our approach to complaint handling and arrears management is robust and puts the customer first.”