Liverpool City Council director Nick Kavanagh dismissed from post

A report scrutinising Liverpool City Council is due to be published this week

Troubled Liverpool City Council has dismissed its director of regeneration with immediate effect.

Nick Kavanagh was arrested in 2019 as part of a police probe into building and development contracts in the city.

Mr Kavanagh, who has not been charged and denies wrongdoing, was arrested on suspicion of conspiracy to defraud and misconduct in public office.

In a statement released to the Liverpool Echo, he said he would "fight to defend" his innocence.

He said: "From the beginning, it has been clear to me that no matter what factual evidence I provided it would make no difference.

"I have stayed silent since my suspension in December 2019 because as a public servant it is not my place to comment on matters without the authorisation of my employer."

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He added that he intends to clear his name at an appeal or tribunal.

"If it goes to a tribunal that will be independent unlike this investigation and the government review which has followed the narrative of the city council chief executive," he continued.

"At that public tribunal, I will be more than happy to share my factual evidence and the collusion that has taken place in order to create an impression of wrongdoing and then pin it on one person."

The council confirmed Mr Kavanagh is no longer an employee but declined to comment further.

His departure comes as the government prepares to unveil its plans for the future of the authority.

The council has been under intense scrutiny from the government since December.

It follows the further arrests of five men including the city's mayor Joe Anderson as part of the police investigation.

Joe Anderson became Liverpool's first directly-elected mayor in May 2012

Mr Anderson denies any wrongdoing and has not been charged.

Following the allegations the government announced an investigation into the council's planning, highways, regeneration and property management, which has now been completed.

Speculation has been mounting that the Tory government will take over the running of the Labour-run council by appointing commissioners when it announces its plans for the city on Wednesday.