Merseyside fire service to keep energy deal despite 'disaster'

Errors may cost the council an extra £10m, which includes extra costs for MFRA

A fire service will continue to use Liverpool City Council for its electricity supplies despite the authority's energy "disaster".

Merseyside Fire and Rescue Authority (MFRA) agreed to continue using a deal, which could cost it an additional £1m, at an emergency meeting.

It comes after errors at the Labour-led council meant it ended up on the wrong energy tariff.

MFRA said it would consider alternative options from 2023.

Mistakes and miscommunication left the council on a more expensive tariff after its electricity and gas supplier Scottish Power stopped supplying commercial customers.

The error may cost the council an extra £10m, which includes extra costs for MFRA, as it uses the same deal.

Lib Dem councillor Andrew Makinson has warned that the £1m extra on MFRA's bill could result in fire service cuts.

'Stop the haemorrhaging'

The Local Democracy Reporting Service said Chief Fire Officer Phil Garrigan told the emergency meeting alternative options would be considered for future procurement of utilities from March 2023 onwards.

As of 1 April, the council and fire service have been subject to a variable rate as a result of being out of contract, which has placed an increase of 400% on its electricity costs.

The meeting heard that expected revenue underspend for the last financial year could be used to cover the cost of the increase.

Committee chairman Les Byrom said there was a need to "protect the budget of the authority".

"This is a disaster that we didn't see coming over the horizon."

He said the £1m was "going to go on front-line firefighting", but it was necessary to "stop the haemorrhaging from now on".

"I know it's politically controversial in Liverpool, but I don't think it's a controversy here," he said, adding: "We've got to stem this."

Following the decision to continue with the deal, MFRA has also commissioned an internal audit of its agreement with the council.