Title

FINANCE

Investigation into 'errors' that cost Liverpool £4.5m

An investigation has been launched into ‘control failures and errors’ that cost Liverpool City Council millions of pounds.

An investigation has been launched into ‘control failures and errors' that cost Liverpool City Council millions of pounds.

Chief executive Tony Reeves has offered a formal apology to senior councillors, and said an independent audit and ‘lessons learnt' exercise was being held into the botched renewal of an energy contract.

A report blamed ‘control failures and errors,' which will cost £4.5m in higher bills.

It said the council's cabinet had agreed to renew its current, fixed-rate electricity contact with Scottish Power on 4 March.

However, the senior leadership team and cabinet had not been made aware until weeks later that Scottish Power had closed its business to commercial and industrial customers a day before the meeting, meaning it would have to find another supplier at a significantly higher cost.

Deputy mayor and finance cabinet member Jane Corbett said: ‘It's crucial we continue to act responsibly and mitigate against failures to respond to changes but at a greater pace.

‘There are clear lessons to be learnt from this process.'

The Liverpool Community Independents group of councillors called it a ‘catalogue of errors and a glaring failure of scrutiny,' and have called for those responsible to resign.

Mayor Joanne Anderson said: ‘I have ordered a full investigation into what went wrong at every level.

'This investigation will be conducted by independent and external auditors - not by council officers.

‘I want to make it clear to the city that I am seeking full accountability for this costly error and appropriate action will be taken once the full facts are established.'

FINANCE

AI and tech – the evolution of care

By Simon Guerrier | 22 September 2025

Simon Guerrier examines what AI and technology-enabled care are, the benefits they can bring, the risks and costs to consider, and the lessons from one local...

FINANCE

Councils can't wait for reform

By Joanne Pitt | 22 September 2025

Drawing on assurance work by CIPFA, Joanne Pitt sets out the challenges driving the growing reliance on Exceptional Financial Support and outlines the urgent...

FINANCE

How new mayoral powers could reshape housing and planning

By David Blackman | 19 September 2025

With the English Devolution Bill gaining momentum, David Blackman assesses what new housing and planning powers are likely to be given to mayoral strategic a...

FINANCE

Levelling the paying field

By Martin Ford | 17 September 2025

With a host of newly-minted unitaries set to spring up around England in the coming months and years, Martin Ford looks at the thorny issue of pay harmonisation

Martin Ford

Popular articles by Martin Ford