Liverpool City Council

Andy Carter Excerpts

Wednesday 24th March 2021 Commons Chamber

[Mr Deputy Speaker (Mr Nigel Evans)]

I would just like to say before I call any other Members that, although a number of individuals are under investigation, I understand that there have been no charges. There is therefore no sub judice involved, but I would caution Members not to compromise any of the ongoing investigations in anything they may or may not say.

[Andy Carter (Warrington South) (Con) [V]]

I thank the Secretary of State for his statement today and welcome the steps he has outlined in relation to Liverpool City Council. I welcome the steps he is taking to preserve the good name of local government, too. I regularly hear from constituents with concerns about the level of commercial activity that councils are now undertaking. Does he agree with me that some of the transactions are incredibly complicated and well beyond what councils would have traditionally been involved in, and that external audit and public scrutiny need to be reviewed and greatly improved to protect taxpayers’ interests?

[Robert Jenrick]

My hon. Friend raises an important point. We asked a lot of local councils, and we will do so once again as we come out of the pandemic. We want them to be regenerating town and city centres and investing in new housing, but we want them to do so carefully and not to invest in risky investments or transfer toxic assets from the private sector to the public sector. We have taken action as a Government through reforming the Public Works Loan Board. We are providing further guidance to local councils, including through the work of the report we commissioned from Sir Tony Redmond, to ensure that the sector improves the way it handles this situation. The allegations made against Liverpool City Council are of a different magnitude to the ones that we have seen in other parts of the country, so I do not want to draw direct comparisons, but there is more work to be done with some other local authorities as well.