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Liverpool Echo
Liverpool Echo
National
David Humphreys

Liverpool Council to appoint new internal audit boss

A new audit boss could be appointed at Liverpool Council amid a litany of financial missteps at the beleaguered local authority.

The spotlight has been cast on how Liverpool Council manages its finances for a number of years and now its appointments and disciplinary panel is scheduled to meet on Monday to consider the addition of a chief internal audit officer. A report has been drafted for the meeting, which is to be held behind closed doors, seeking approval for the establishment of the role.

It comes amid a number of issues that have hit the council, including a series of mistakes by officials that led to the city's electricity contract jumping from £10.6m to £26m just months after a controversial set of budget cuts were signed off. During a meeting of the council’s cabinet earlier this month, it was confirmed a formal investigation had been ordered after the mayor, cabinet and chief executive were not informed of major changes to Liverpool Council’s electricity supplier which was met with a withering response from government appointed commissioners.

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That debacle has also led to Deputy Mayor Jane Corbett being removed from her post as cabinet member for finance and resources, with Mayor Joanne Anderson personally taking responsibility for the council’s finances. Mayor Anderson will also seek to appoint an external political advisor with 'extensive experience in finance and budgeting' to support her and the council in setting next year's budget.

An external investigation is also being commissioned into the books at Liverpool Council after a request from its own auditors. Grant Thornton has said it cannot sign off on the council’s books for 2019/20 until an external investigation had taken place into practices behind closed doors.

In March, partner Mark Stocks told members the investigation would consider whether issues identified that led to arrests in 2020 impacted “a particular area in the council or whether the issues are more pervasive.” Mr Stocks said the review would look at “matters that happened” - referring to incidents that led to the arrest of council members and officers almost two years ago, as well as “what may have happened in other areas of the council.”

The council’s value for money conclusions are also on hold until the review is completed. The private meeting to discuss the appointment will be held at the council’s headquarters, Cunard Building, on Water Street, next week.

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