Liverpool deputy mayor leaves finance role after energy error

Mayor Joanne Anderson will take over the responsibility for finance from councillor Jane Corbett

Liverpool's deputy mayor will no longer oversee the council's finances after an error resulted in the authority's energy bill rising by £10m.

Mistakes, inaction and miscommunication left the city's Labour-led council on a more costly tariff.

Jane Corbett had been cabinet member for finance for the last year but has now left the role after a decision agreed at a Labour group meeting.

Mayor Joanne Anderson will take over the responsibility.

Ms Corbett will remain as Ms Anderson's deputy.

Opposition councillors had been calling for Ms Corbett's resignation since the mistake emerged earlier this month.

Ms Corbett claimed neither she, the mayor or council's chief executive knew the authority's deal with Scottish Power was effectively untenable when the provider stopped supplying commercial customers.

The council was transferred to a more expensive tariff and has now found a new short-term deal at considerable extra cost.

The mayor will appoint an external political advisor to support her and the council in setting next year's budget.

The council's finance select committee is holding an emergency meeting on Wednesday to scrutinise the energy supplier procurement process and the impact of this error on the budget.

'Major blunder'

Richard Kemp, leader of the council's Liberal Democrats opposition party, said it was the right decision.

"She was clearly responsible as the politician for signing off on a major blunder," he said.

"Although it's possible she didn't know until right at the last minute, she should have been on top of the changed procurement processes."

He added he was concerned to hear Ms Anderson was taking on the finance role herself.

"The mayor is one job, and finance in itself is another huge job. Liverpool's total budget is a billion pounds - it's a job in itself."

A Labour spokeswoman said: "We have made progress over the last year with our improvement journey and it is extremely disappointing that there has now been an issue with the council's handling of the energy contract."

An independent audit is under way and and the mayor "remains firm that full accountability and appropriate action is taken following the investigation", she added.

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