Secretary of State Michael Gove has confirmed an expanded takeover of Liverpool City Council.
The returning Levelling Up Secretary has appointed a new Finance Commissioner at the troubled local authority, with the now five-strong team of commissioners given new powers over governance, recruitment and financial decision making at the Cunard Building.
It is a significant expansion of the initial government intervention at the council, which saw four commissioners brought in to oversee the work of a number of council departments following the damning revelations of last year's Max Caller inspection report.
READ MORE: Government confirms expanded takeover of Liverpool City Council
But many will see this latest move as an effective full takeover of the city council which comes as the local authority attempts to set a balanced budget in the face of huge further budget cuts.
Mr Gove has confirmed the expanded takeover and appointment of Stephen Hughes in a letter to lead Liverpool commissioner Mike Cunningham.
The letter is written in full below:
Dear Mike,
I would like first to thank you and your team for continuing to diligently serve as commissioners to Liverpool City Council. Your wisdom and expertise as a team are helping Liverpool navigate the challenges it faces and set it on a stable track towards improvement.
To address further failures identified in the council and support you in work, the additional directions announced today expand the intervention and transfer all executive functions associated with finance and all non-executive powers over resourcing, governance and scrutiny of strategic decision making by the council and direct the council to take specific actions.
I have appointed Stephen Hughes as Finance Commissioner and would like to thank Brian Roberts for his work advising the team over the last few months.
As with the directions issued on 10 June 2021, which remain in force, I expect the council to continue to make decisions in these areas with commissioners stepping in by exception as and when you see fit.
As per the council's representation, which I am also publishing today, I would invite you to continue to work with them on how you intend to carry out your duties and use your powers, noting that roles may change overtime.
The intervention is at a critical juncture as it approaches the halfway point. I am pleased that some progress has been made. However, it is clear significant challenges remain. More must be done to embed the desired cultural change across the organisation, strengthen governance arrangements and deliver a balanced budget for2023/24, as part of a strong, achievable Medium Term Financial Strategy.
My decisions reflect the stark situation in the council. I am keen we continue to do all that we can to support the city. In this regard I suggest that you take a particular interest over the coming months in adult social care services, housing strategy and information management including Freedom of Information performance. I would welcome an update on these issues within your next report.
Given the issuing of these new directions today I would like to provide you with some additional time to prepare your next report, and now look forward to receiving that in early February. In the meantime, if you have any questions, please do feel free to get in touch with my officials at any time.
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