Council could face £2m bill in solar farm row

Preston Council is one of the authorities facing legal action

Preston City Council could be sued by a local authority in Essex for more than £2m in a legal fight over solar farm investments.

Thurrock Council said it put money into more than 50 energy generating sites which turned out to be worth far less than it believed, costing an estimated £200m.

The dispute is with the Association of Public Service Excellence (APSE) which valued the assets, of which the Preston authority is a member.

Thurrock is threatening to take legal action against 23 councils across the country as it tries to recoup £50m of its losses, the Local Democracy Reporting Service (LDRS) said.

If Thurrock is successful and each of the 23 councils sued had to pay an equal share, Preston would have to pay almost £2.2m, just under 10% of its annual day-to-day £23.7m revenue budget.

When the BBC asked Preston City Council for a response, a spokesman said the council was "extremely disappointed by the current legal threat by Thurrock Borough Council to recover sums it alleges it has lost as part of its investment in solar farms."

He added: "This is a case that has been ongoing for some time and Preston City Council vigorously defends its position as a member of the Association for Public Service Excellence (APSE) which is a not-for-profit, unincorporated association.

APSE also expressed dismay at the authority's action adding Thurrock's media statements risked undermining fairness and transparency, and opened up the potential for further legal action, which it might need to consider.

Thurrock Council leader John Kent said the authority would leave no stone unturned in its attempts to recover public money that was lost through its "well-publicised poor investments".