Bristol council £9m energy firm investment is 'reckless'

Bristol Energy was launched in 2016 by managing director Peter Haigh (second from right) and Bristol mayor Marvin Rees

Bristol City Council's decision to put £9m into its loss-making energy firm is "reckless" and a "staggering waste of money", critics have said.

The Labour-run council has so far put £27m into Bristol Energy and says the money will "make it thrive".

Conservative councillor Claire Hiscott said: "At which point do you think the investment will change from being brave to being reckless?"

The cabinet approved the spending, said the Local Democracy Reporting Service.

During the cabinet meeting, deputy mayor for finance Craig Cheney said customer numbers had grown significantly despite "extremely challenging market conditions".

The firm also has a new strategy to enable it to "adapt and thrive" and new leadership and management to drive the change, he said.

Mr Cheney had been present the day before, when opposition councillors at a scrutiny meeting voiced their doubts that Bristol Energy could succeed in the volatile energy market.

Green councillor for Clifton Jerome Thomas said: "I think from the perspective of the average Bristol person, the investment in Bristol Energy has been a staggering waste of public money."

The company posted financial losses totalling £19.6m in its first two years of trading, but its financial performance for the most recent financial year is not yet known.

It was set up in 2016 to provide ethically-sourced, low-cost energy and return a profit for Bristol taxpayers.