Liverpool energy costs: School facing job cuts as bills up by 500%

A school is facing possible job losses and energy costs rising by almost 500% after a council error, its chairman of governors has said.

Mistakes at Liverpool City Council saw some public services end up on a more expensive tariff.

Brian Lawless said Northcote Primary School's costs were "unsustainable" and would lead it to a "deficit budget".

Liverpool City Council said it would assess the "impact of the additional costs as a matter of urgency".

The authority's chief executive Tony Reeves previously apologised for "control failures and errors" in securing a continued deal with energy firm Scottish Power.

A council report said the cabinet was not informed the company had stopped supplying commercial customers and as such, the total cost of its bill, which would also include schools and Merseyside Fire and Rescue Service, may increase from £10.6m to £26m.

A report on the circumstances is due to be published soon.

In a letter to Liverpool Mayor Joanne Anderson, Mr Lawless said schools faced being "penalised" for council officials' mistakes.

He said Northcote's energy costs in May had risen by a "disturbingly high" 491%, when compared to 12 months earlier, despite it being closed for a week for half-term and not using any additional energy due to the warm weather.

The school remained "able to sustain staff levels" at the moment, he said, but added that would "change as we seek to balance the books".

"There is [the] very real prospect of job losses right throughout the education establishments throughout the city," he said.

"This will have a massively detrimental effect on the quality of provision for the children."

He also called for reassurance that a promise made by deputy mayor Jane Corbett that schools would not have to bear the burden of the rising cost would be "fulfilled".

Ms Corbett stepped down from overseeing the council's finances following the report.

A city council spokesman said the authority "has been regularly communicating with all of the city's schools affected by the electricity contract issue and has apologised for the impact on budgets".

"There is a commitment to assess the impact of the additional costs as a matter of urgency once all quarterly bills are in next month," he said.

"The situation will also continue to be monitored under the new tariff."

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