Liverpool Council's director of finance and deputy chief executive Mel Creighton has quit in the wake of a £16 million energy contract disaster that has engulfed the local authority.
Mayor Joanne Anderson has today confirmed that Mel Creighton has resigned and will leave her role at the end of August. She has been with the council for three-and-a-half years.
It is understood that prior to her resignation, Ms Creighton had been signed off work following the revelations about a series of disastrous mistakes at the council over renewing an energy contract.
READ MORE: 'Clowns have taken the Town Hall' as latest council contract blunder criticised
The ECHO first revealed how officers failed to inform political leaders that Scottish Power, who the council had a major electricity contract with, had withdrawn from the commercial market before a decision to renew with the firm was approved at a cabinet meeting. This meant the council was automatically placed onto a far more expensive tariff, costing the city millions.
The council's own bill could be added to by £5m, while the overall impact on the city - including local schools and the fire service - could stretch to £16 million because of the errors made. A full, independent investigation is being carried out by a team of accountants, the results of which are expected to be heard by the end of June.
As the council's senior officer in charge of finance, some councillors had moved to place the blame for the mistakes made on Ms Creighton, while others have said the buck stops with her boss, Chief Executive Tony Reeves. Deputy Mayor Jane Corbett has already lost her finance portfolio in the wake of the scandal.
Prior to recent events, Ms Creighton had been seen as an important figure - alongside Mr Reeves - in turning the local authority around amid the damning revelations in last year's government inspection report
Confirming Ms Creighton's resignation, Mayor of Liverpool Joanne Anderson today said: “Mel Creighton has informed the council that she wishes to pursue new opportunities elsewhere, and we respect her decision.” Liverpool City Council Chief Executive Tony Reeves said: “I have today accepted Mel Creighton’s resignation. We are now having discussions with the Commissioners about the arrangements to be put in place to recruit a successor.”
The mess surrounding the council energy catastrophe was first picked up by the government commissioners, who are currently installed at the troubled authority following last year's inspection report. The commissioners are due to report back shortly after a year in Liverpool and there are concerns that the latest scandal could lead to further government interventions.
