New Housing Ombudsman Process: What London Landlords Must Do Now to Avoid Escalations

What the Housing Ombudsman’s New Tiered Process Means for You

In early 2024, the Housing Ombudsman introduced a revised further investigations process designed to identify and address landlord performance issues earlier than before. Instead of waiting for full-scale investigations, the Ombudsman now uses a tiered approach. This means landlords showing signs of poor complaint handling or service delivery receive early interventions (Tier 1), with escalating oversight if improvements aren’t made (Tier 2, then full investigation).

For London’s private landlords, this development is significant. It signals a stronger regulatory focus on proactive problem-solving and accountability, particularly around complaints, repairs, damp and mould, and support for vulnerable tenants. Failure to respond adequately risks reputational damage, regulatory penalties, and ultimately more onerous enforcement.

Why This Matters: Risks and Opportunities

The Ombudsman’s learning statements reveal common pitfalls: slow or inadequate complaint responses, unresolved repair issues, unaddressed damp and mould, and insufficient support for vulnerable residents. Several landlords who underwent Tier 1 interventions reported marked improvements after implementing Ombudsman recommendations.

Ignoring early warnings can escalate your case to Tier 2 or a full investigation, increasing scrutiny and potential sanctions. Conversely, engaging constructively at Tier 1 can reduce complaints, improve tenant relations, and demonstrate compliance to regulators.

Practical Implications for Different Landlord Profiles

• Single-unit landlords and accidental landlords: Often less familiar with formal complaint handling processes, these landlords should review their approach urgently. Simple, clear complaint procedures and timely repairs can prevent escalation.

• HMO landlords: With multiple tenants and complex service needs, HMOs must ensure robust complaint tracking and rapid response systems. Vulnerable resident support is crucial here.

• Portfolio landlords: Larger landlords should integrate the Ombudsman’s tiered process into their compliance and risk frameworks. Data monitoring to detect complaint or repair trends across properties is essential.

Concrete Steps to Take Immediately

1. Review the Ombudsman’s tiered process and criteria. Visit the Housing Ombudsman website to familiarise yourself with the escalation triggers and required landlord responses.

2. Audit your complaint handling and service delivery metrics. Look for patterns of repeated complaints, slow response times, or unresolved repairs, especially around damp and mould.

3. Prepare to submit timely response plans. If contacted under Tier 1, respond promptly with clear plans addressing identified issues.

4. Invest in staff training and process improvements. Ensure your team understands complaint handling, repair workflows, and supporting vulnerable residents.

5. Engage tenants proactively. Use surveys or feedback channels to identify issues early and demonstrate a positive complaints culture.

6. Monitor developments on Awaab’s Law and damp/mould policies. These issues are increasingly scrutinised and feature in Ombudsman learning statements.

7. Coordinate internally. Align your approach with compliance, legal, and property management teams to embed the new process into your governance.

Next Steps: Scheduling Your Workflows

• Schedule a compliance review meeting this month focused on complaint handling and repair responses.
• Task your property managers or agents with reporting on complaint metrics weekly.
• Arrange tenant feedback sessions quarterly to capture and address issues proactively.
• Plan training workshops on vulnerable resident support within six weeks.

How Rentals & Sales Can Support You

Navigating these regulatory changes can be complex, especially for busy landlords. Rentals & Sales offers tailored portfolio reviews, compliance audits, and pricing strategies to help you stay ahead. Our experts can assess your complaint handling and repair processes, recommend improvements, and assist with response plans if you face Ombudsman intervention.

Contact us to schedule a consultation and safeguard your investments.

Compliance Disclaimer: This article is for informational purposes and does not constitute legal advice. Landlords should consult relevant professionals for advice specific to their circumstances.