Correspondence

Liverpool City Council: updated Explanatory Memorandum (8 November 2022)

Published 8 November 2022

Applies to England

Liverpool City Council Directions under section 15(5) and (6) of the Local Government Act 1999.

Explanatory Memorandum

1. The Secretary of State for Levelling Up, Housing and Communities (“the Secretary of State”) has exercised his powers under section 15(5) and (6) of the Local Government Act 1999 (“the 1999 Act”) in relation to Liverpool City Council (“the Authority”) to secure its compliance with the best value duty.

2. This Memorandum is intended as a companion document to the Directions issued to the Authority on 10 June 2021 and 8 November 2022. This document is made up of two distinct but complementary parts, the first detailing the provisions in the 10 June 2021 Directions and the second the expansion provided for by the provisions in the 8 November 2022 Directions. Each part will consist of the following sections:

• Context for the Directions
• Representations on the intervention proposal
• The intervention package
• Commissioners
• Powers to be exercised by Commissioners
• Directions to the Authority

These parts will summarise the circumstances in which the Secretary of State has made the Directions, his reasons for this exercising of his powers, and the implications of Directions for the Authority.

3. In addition, this Memorandum contains a third part that provides further detail in relation to this intervention:

• Commissioners and the Authority
• Frequency of Commissioners reports
• Commissioner pay and expenses
• Duration of the intervention
• The end of the intervention

4. This Memorandum, together with the Directions and material taken into account for the purposes of making Directions, is published on the government website at www.gov.uk.

Section 1: 10 June 2021 Directions

Context for the Directions issued on 10 June 2021

5. Following the seriousness of the issues identified through the Merseyside Police investigation into fraud, bribery and corruption in public office, which involves a significant connection to the Authority; and the Authority’s submission to the department of 11 December 2020 regarding their governance arrangements, oversight and control measures, including details of the measures and controls implemented during the previous eighteen months, the Secretary of State appointed Max Caller CBE under section 10 of the 1999 Act to carry out an inspection of the compliance of the Authority with its best value duty (as set out in Part I of the 1999 Act). The Secretary of State asked that the inspection should consider whether the Authority has effective arrangements in place for securing best value in its planning, highways, regeneration and property management functions and the strength of associated audit and governance arrangements.

6. On 19 March 2021, Max Caller CBE, having undertaken his inspection, sent to the Authority and the Secretary of State a report (“the inspection report”) setting out his findings. The inspection report, which reflected the thoroughness and detail of the Inspector and Assistant Inspectors’ investigation, set out a picture of serious failings by the Authority in the areas of highways, regeneration and property management functions, together with their interaction with planning functions and associated audit and governance arrangements in the exercise of those specified functions. The inspection report concluded that the Authority had failed to comply with its duty under Part I of the 1999 Act over a number of years.

7. Having considered the findings of the inspection report, on 24 March 2021, the Secretary of State published the Report and a letter from senior officials to the Authority setting out a proposed intervention package to secure the Authority’s compliance with its best value duty (“the minded to letter”). He invited the Authority and any other interested parties to make representations to him on or before 24 May 2021 about the inspection report and the proposed intervention package.

8. The minded to letter explained that the proposed intervention package reflected the recommendations of the Inspector, and contained two key elements:

a. Proposals to put in place Commissioners to take over functions associated with regeneration, highways and property management, together with associated audit and governance arrangements at the Authority; and

b. Proposals to introduce electoral changes, in particular:

i. to make an Order using powers in the Local Government Act 2000 to provide for whole council elections in 2023 and every fourth year thereafter; and

ii. to consider and consult upon a new submission to the Local Government Boundary Commission for England as part of the current boundary review, which includes consideration of a proposal to reduce the number of Councillors to those consistent with elections on a single member ward basis and be approved by the Commissioners.

9. The minded to letter included a detailed description of the Directions that the Secretary of State proposed to make under section 15 of the 1999 Act. The proposed Directions provided for the Commissioners to exercise for a time certain of the Authority’s functions, gave to the Commissioners certain responsibilities and reserved powers and required the Authority to take certain actions. This Memorandum explains the content of the Directions issued on 10 June 2021 as finalised in the light of representations received from the Authority and other interested parties after the proposal was published on 24 March 2021.

Representations on the inspection report and intervention proposal published on 24 March 2021

10. Before making Directions, the Secretary of State is required under section 15(9) of the 1999 Act to give the Authority an opportunity to make representations about the inspection report as a result of which the Directions are proposed, and about the proposed Directions.

11. Representations were received from the Authority, dated 24 May 2021 from the Chief Executive Officer, Tony Reeves. The Authority accepted the findings of the inspection report in full and acknowledged they have failed to comply with the best value duty over a number of years. The Authority supported the proposed intervention, including to appoint Commissioners. The Authority committed to consider and consult upon a new submission to the Local Government Boundary Commission for England (LGBCE) as part of the current boundary review.

12. Representations were also received from:

a. Centenary Action Group, a coalition of over 50 organisations and activists campaigning to eradicate the barriers that prevent women taking part in politics. The representation expressed concern that single member wards may discourage women from seeking elected office, stating multi-member wards are helpful because the workload can be shared between colleagues; and voters in single member wards could be left without representation if councillors need to take maternity leave or are absent for caring-related reasons.

b. Unlock Democracy, an organisation that campaigns for a vibrant, inclusive democracy that puts powers in the hands of the people. They expressed concern about the proposed single member wards and reductions in the number of Councillors, arguing multi-member wards allow councillors to share their workload, which means those with other commitments can serve as Councillors, and that multi-member wards can also provide checks and balances on each other’s activities. They also cite their research which highlights that the UK already has fewer Councillors than other European countries.

c. Eight members of the public who welcomed the proposed intervention package.

d. Five members of the public who were not supportive of the proposed intervention package.

The intervention package published on 10 June 2021

13. Having carefully considered afresh the inspection report, together with letters from the Authority (24 May 2021), Centenary Action Group (12 April 2021), Unlock Democracy (22 April 2021) and members of the public (various dates), the Secretary of State was confident that there was a sound basis on which to found his considerations and, accordingly, was satisfied that the Authority is failing to comply with its best value duty.

14. The Secretary of State, having considered the representations made by the Authority as required under section 15(9) of the 1999 Act, considered it necessary and expedient, in accordance with his powers under section 15(5) and (6) of the 1999 Act, to put in place an intervention package in order to secure the Authority’s future and sustainable compliance with its best value duty. This intervention package was in line with his proposals as described in paragraph 8 of this Memorandum, with the following modifications:

a. The Commissioner’s functions relating to the appointment and dismissal of statutory officers were expanded to include the role of Assistant Director Governance, Audit and Assurance;

b. The Direction to the Authority to consider and consult upon a new submission to the LGBCE as part of the current boundary review was amended to clarify that the submission should include consideration of a proposal to reduce the number of Councillors to those consistent with elections on the basis of predominantly single member wards, completed to the satisfaction of and approval by the Commissioners. That is single member wards across the whole Council area save where the LGBCE consider a multi member ward is essential to balance their statutory duties of delivering electoral equality, reflecting interests and identities of local communities, and of promoting effective and convenient local government; and

c. As part of the Secretary of State’s intention to make an Order using his powers in the Local Government Act 2000 to achieve the fresh start the Authority requires by providing full Council elections from 2023, is an intention that the Order specifically provides for:

i. Liverpool City Council to hold all-out elections every four years from 2023 and adjust retirement dates for existing Councillors accordingly;

ii. Postponement for one year of the May 2022 elections of one third of Liverpool City Councillors and extend terms of office accordingly; and

iii. The movement of the next election for Liverpool City’s Mayor to 2023 from 2024 and shorten the term of office accordingly.

15. The first modification was to reflect what was proposed in the inspection report and was accepted by the Authority. The second modification was in response to representations received by the Secretary of State. The modifications to the Electoral Order will help address the Report’s recommendation of ensuring as much stability as possible during a period of significant change. Going forward, the city mayoral and council elections will take place in the same year every four years. The Order will be subject to the negative resolution procedure and will be made as soon as practicable and well in advance of the local government elections currently scheduled for 2022. Following the making of the Order, the independent Local Government Boundary Commission for England will be able to undertake their electoral review, with its necessary legislation, subject to Parliamentary approval.

16. The Secretary of State considered that this package will address the failings identified in the Report. For the avoidance of doubt, the Secretary of State believes that each individual element of the intervention that he has implemented is individually justified.

Commissioners appointed on 10 June 2021

17. The inspection report presents a strong case for intervention to ensure a reset and that the work that is currently being undertaken is continued at pace and embedded. Therefore, the package that the Secretary of State has put in place centres on a team of Commissioners to ensure that the Authority meets its duty under Part I of the 1999 Act in the short term (anticipated to be in place until 9 June 2024). The Secretary of State has made Directions in relation to the Commissioners, including providing for them to perform certain functions, if necessary, and to have a role in overseeing other functions or actions which the Authority is to perform. The Commissioners are accountable to the Secretary of State in that they have been nominated by him and can have their nomination withdrawn by him. The Commissioners will report to the Secretary of State on the progress of the intervention.

18. The skills and experience in the Commissioner team will mean that it is both possible and sensible to give them considerable levels of discretion over how they implement their roles and responsibilities under the Directions, in order that they can find the solutions most likely to lead to sustainable improvement in the Authority.

19. The Commissioners are to act jointly or severally, and it will be for them to decide how best to exercise their functions. However, the Secretary of State envisages complementary roles:

a. A Lead Commissioner, whose responsibilities include, but are not limited to, giving direction and leadership to the work of the other Commissioners and to the delivery of the improvements which the Authority is required to make;

b. A Local Government Improvement Commissioner whose responsibilities include, but are not limited to, overseeing the improvements the Authority needs to deliver in relation to its governance, leadership and culture, and the exercise of its overview and scrutiny function;

c. A Regeneration Commissioner whose responsibilities include, but are not limited to, overseeing the improvements the Authority needs to deliver in relation to its exercise of its regeneration function; and

d. A Highways Commissioner whose responsibilities include, but are not limited to, overseeing the improvements the Authority needs to deliver in relation to its exercise of its highways function.

20. The Secretary of State has nominated a Commissioner team with a proven record in adherence to the rule of law, leadership and delivering cultural change, together with specific expertise relevant to their functions. The Commissioners are:

• Mike Cunningham QPM CBE – Lead Commissioner – Has been involved in policing for more than 30 years, most recently as Chief Executive of the College of Policing from 2018 – 2020, the standards setting body for policing in England and Wales. Formerly one of Her Majesty’s Inspectors of Constabulary, inspecting forces in the north of England and Northern Ireland, and the national lead inspector for the development and implementation of inspections into police efficiency, legitimacy and leadership, and Chief Constable of Staffordshire Police.

• Joanna Killian – Local Government Improvement Commissioner – Has more than 30 years of experience in the public sector delivering transformational change and service improvement. Since March 2018 she has been Chief Executive of Surrey County Council. Prior to this Joanna worked at KPMG and was also Chief Executive of Essex County Council for 9 years.

• Neil Gibson – Highways Commissioner – Former Executive Director of Transport Economy and Environment for Buckinghamshire County Council, where he also acted for a time as Interim Chief Executive. A Fellow of the Chartered Institute of Highways and Transportation and former President of the Association of Directors of Environment, Economy, Planning and Transport.

• Deborah McLaughlin – Regeneration Commissioner – Extensive experience working in Regeneration and Housing for over 30 years across public and private sectors, including as Director of Housing at Manchester City Council, regional director for the North West at Homes England and Director of Capita’s real estate business. Also worked at the Audit Commission as a Best Value Inspector and auditor.

Powers to be exercised by the Commissioners through Directions issued on 10 June 2021

21. In his report, the Inspector highlights failures in six key areas – highways, regeneration, property, procurement, legal services, governance and scrutiny – which he considers that taken together have led to the Authority’s failure to comply with its best value duty. Alongside this he refers to the recent improvements made at the Authority and the active support that the Authority and executive team need to continue making improvements.

22. For these reasons, the Directions enable the Commissioners to exercise functions in four areas:

a. All functions associated with highways – The Report expressed serious concerns over the relationship between the core services team and Liverpool Streetscene Services Ltd (LSSL), a wholly owned subsidiary of the Authority, and that senior managers did not understand the risks to the service or what resources, structures, processes or procedures should be put in place to ensure a good service could be delivered. Concerns were also expressed over compliance with Standing Orders and how some of the maintenance contracts were awarded.

b. All functions associated with regeneration – The Report outlines the intimidating nature of the Department, the lack of appropriate files and systems and how proper decision making was not upheld.

c. All functions associated with property management – The Report details the poor record keeping in relation to property disposals and a disregard for securing best value.

d. Functions relating to the appointment and dismissal of statutory officers (the Chief Executive, Chief Financial Officer (and section 151 officer) and Monitoring Officer) and the Assistant Director Governance, Audit and Assurance.

23. The exercise of these functions should enable the Commissioners to ensure that the Authority has made sufficient improvement within the next three years to be able to comply with its best value duty on a sustainable basis.

Directions to the Authority issued on 10 June 2021

24. To achieve and facilitate the objectives of the intervention, the Secretary of State has also directed the Authority to take the following actions:

a. To prepare and implement an improvement plan to the satisfaction of Commissioners (which may include or draw upon improvement or action plans prepared before the date of these Directions), with, as a minimum the following components.

b. In the first 12 months review and implement changes to the Council’s constitution which will:

i. Improve the ethical governance framework to best practice incorporating the Local Government Association model code and a fully functioning Standards Committee.

ii. Constitute the Audit Committee as a stand-alone committee with a direct reporting line to Council and a right to have its recommendations considered by the Executive Mayor and Cabinet, with either an independent Chair or an Independent Technical Advisor.

iii. To re-establish Scrutiny activity in line with Statutory Guidance ensuring that Councillor leadership of the activity is on a cross party basis and with appropriate officer support.

iv. Introduce best practice Standing Orders and Regulations for contracts and property disposals.

v. Review the scope, content and reporting of all delegated powers.

vi. Establish a specific code of conduct for all Members in connection with dealing with Planning and Licencing matters.

vii. Require mandatory training of members in key activities, including behaviours, before participation in Council activities other than full Council.

viii. Improve the content and updating of declarations of interests and gifts and hospitality, for both Members and Officers.

c. Consider and consult upon a new submission to the Local Government Boundary Commission for England as part of the current boundary review. The submission should include consideration of a proposal to reduce the number of Councillors to those consistent with elections on a predominantly single member ward basis, completed to the satisfaction of and approval by the Commissioners;

d. To obtain the consent of the Commissioners before the Authority, at either Member or Officer level, agree Heads of Terms for any property transaction and subsequent consent before any legally binding commitment is entered into;

e. To review, in the first 24 months, the roles and case for continuing with each subsidiary company of the Authority. For those companies that it is agreed to continue, ensuring that the Directors appointed by the Authority are appropriately skilled in either technical or company governance matters to ensure each Board functions effectively under the terms of an explicit shareholder agreement and a nominated shareholder representative. For those companies which it is determined not to continue with in this form, to establish a plan to internalise, close or sell as appropriate;

f. To consider and approve a suitable officer structure for the Authority which provides sufficient resources to deliver the Authority’s functions in an effective way, including the Improvement Plan and its monitoring and reporting within 6 months;

g. To oversee a detailed structure and strategy for the Highways function in short and medium-term as set out in the Highways section of the Report;

h. To establish a plan to deliver an effective file management system so that the Authority can more easily comply with its statutory and managerial responsibilities;

i. To devise and implement a programme of cultural change which ensures both Members and Officers understand their respective roles and the way in which the Authority and its activities are regulated and governed, and the way in which this is monitored, and breaches rectified.

25. The Directions require the Authority to fully cooperate with the Commissioners in order to facilitate their work:

a. To allow the Commissioners at all reasonable times, such access as appears to the Commissioners to be necessary: i. to any premises of the Authority; ii. to any document relating to the Authority: and iii. to any employee or member of the Authority;

b. To provide the Commissioners, at the expense of the Authority, with such reasonable amenities and services and administrative support as the Commissioners may reasonably require from time to time to carry out their functions and responsibilities;

c. To pay the Commissioners’ reasonable expenses, and such fees as the Secretary of State determines are to be paid to them;

d. To provide the Commissioners with such assistance and information, including any views of the Authority on any matter, as the Commissioners may reasonably request; and

e. To co-operate with the Secretary of State for Levelling Up, Housing, and Communities ^{[footnote 1]} in relation to implementing the terms of the Directions.

Section 2: 8 November 2022 Directions

Context for the Directions issued on 8 November 2022

26. On 10 June 2022 Commissioners wrote to the then Secretary of State with their second report (“the second report”) which outlined the progress of the intervention as required by the Directions issued on 10 June 2021. The second report highlighted five additional areas where they considered the Authority to be failing: managing public money, capacity and capability, governance and decision making, risk management, and leadership. The assessment made by Commissioners was that the Authority was failing in its best value duty.

27. The second report concluded by recommending that the scope of the intervention be expanded to include a Finance Commissioner, executive control over finance functions, and control over senior appointments.

28. Having considered the findings of the second report, on 19 August 2022, the then Secretary of State published the report and a letter from senior officials to the Authority (“the second minded-to letter”).

29. The second minded-to letter set out a proposed expansion of the intervention package in order to secure the Authority’s compliance with its best value duty. Specifically, it proposed expanding the intervention with the appointment of a Finance Commissioner who would have oversight of the financial functions of the Authority as well as granting Commissioners:

• All executive powers regarding the appointment, suspension and dismissal of senior positions;
• All non-executive powers with regards to HR functions and policy at the Authority;
• Involvement in the performance appraisal for the Chief Executive and any direct reports to the Chief Executive; and
• Control over functions associated with the governance and scrutiny of strategic decision making by the Authority.

In addition, the Authority would be required to take appropriate steps to avoid incidents of poor governance and financial mismanagement and ensure progress was made on recommendations set out in the second report.

30. In line with section 15(9) of the 1999 Act the second minded-to letter invited the Authority and any other interested parties to make representations on the second report and proposed expansion of the intervention before 2 September 2022.

Representations on the second report and proposed expansion to the intervention published on 19 August 2022

31. Representations were received from the Authority, dated 30 August 2022, jointly from the Mayor of Liverpool, Joanna Anderson, and the Acting Head of Paid Service, Anne Marie Lubanski. In their letter the Authority accepted the need for the proposed expansion of Directions and requested a protocol to provide greater clarification on specifics of the new powers as well as their duration.

32. A representation was also received from Councillor Richard Kemp, leader of the Liberal Democrat opposition, dated 25 August 2022. In his letter Councillor Kemp queried the process used by Commissioners in declaring their interests.

The intervention package published on 8 November 2022

33. Having carefully considered afresh the evidence, including the second report and letters from the Authority (30 August 2022) and Councillor Kemp (25 August 2022), the Secretary of State was confident that there was a sound basis on which to found his considerations and, accordingly, was satisfied that the Authority is failing to comply with its best value duty.

34. The Secretary of State, having considered the representations made by the Authority as required under section 15(9) of the 1999 Act, considered it necessary and expedient, in accordance with his powers under section 15(5) and (6) of the 1999 Act, to expand the intervention package in order to secure the Authority’s future and sustainable compliance with its best value duty. This expanded intervention package was in line with his proposals as described in paragraph 29 of this Memorandum, with a small modification to the proposed timescales for ensuring progress against the recommendations of the second report, which do not affect the duration of the intervention.

35. On 8 November 2022 in accordance with his powers under section 15(5) and (6) of the 1999 Act, the Secretary of State expanded the intervention package in order to secure the Authority’s future and sustainable compliance with its best value duty.

36. In response to the request from the Authority for greater clarity, a more detailed explanation of the expectations of the Secretary of State is contained in paragraphs 41 – 43. It is for Commissioners to work with the Authority to agree how powers will be discharged in practice. The Commissioners have worked with the monitoring officer to respond to Councillor Kemp’s queries and provided external assurance as to the legality of Commissioner declarations.

Appointment of a Finance Commissioner on 8 November 2022

37. The Secretary of State has appointed a Finance Commissioner to oversee the financial functions of the Authority and be part of the Commissioner team as described at paragraphs 17 – 20. The Commissioner Team will decide how best to exercise their functions. However, the Secretary of State envisages that the Finance Commissioner’s responsibilities will include, but not be limited to, overseeing the improvement the Authority needs to deliver in relation to its financial governance and management.

38. The individual appointed as Finance Commissioner is:

a. Stephen Hughes – Finance Commissioner: is a highly experienced local government leader, having served as Chief Executive of Birmingham City Council for nearly 10 years, as well as previously holding an executive role at Brent Council. An accountant by profession, Stephen is currently a non-executive director for HS2 Ltd, Housing & Care 21 and Big Band Limited, He holds a degree in Economics from Cambridge.

Additional powers to be exercised by the Commissioners through Directions issued on 8 November 2022

39. The additional powers granted to Commissioners are:

• To make arrangements for the proper administration of financial affairs and all functions associated with strategic financial management – The second report highlights that the financial situation within the Authority is stark. In their report the Commissioners highlight that the Authority has not taken steps to address structural weaknesses in its finances. In addition, the core functions that support the management of public money are under resourced and under strain. The power will see Commissioners have powers to amend budgets where Commissioners consider they constitute a risk to the Authority’s ability to fulfil its best value duty, as well as providing advice and challenge to the Authority in setting of annual budget and robust medium term financial strategy (MTFS)

• Powers in relation to the appointment, organisation and performance of staff – The second report outlines that the Authority has gaps in workforce capacity and capability across vital services and functions. Commissioners make particular note that the plans to manage the capacity and capability gaps within the Authority have been inconsistent and insufficient. To address this Commissioners will have all executive powers relating to the appointment, suspension and dismissal of direct reports to the Chief Executive and their direct reports, and all non-executive powers in relation to the organisation of the Authority’s staff, their appointment and management. In their report the Commissioners also expressed concern on the pace and urgency being displayed by the Authority’s leadership. To be clear these powers include the right to take part in the performance appraisal of the Chief Executive and any direct reports to the Chief Executive.

• All functions associated with the governance and scrutiny of strategic decision making – The second report references various failures by the Authority in relation to its governance and scrutiny of decision making, most notably the failure by the Authority to renew its energy contracts. The Commissioners highlighted that the lack of process and culture for rigorous transparent decision making in the Authority. Of note were statements made on the decision making not being carried out in a strategic considered manner and the Authority’s Cabinet not being sufficiently sighted on urgent and risk-bearing issues. Commissioners will have the power to ensure that decisions are taken legally and also including (if required) adapting how scrutiny operates, setting a corporate planning process and oversight of internal governance boards.

Directions to be exercised by the Authority issued on 8 November 2022

40. The additional actions to be undertaken by the Authority are:

a. To undertake any action that Commissioners may reasonably require to avoid so far as practicable incidents of poor governance or financial mismanagement, that would, in the Commissioners’ reasonable opinion, give rise to the risk of the Authority failing to comply with its best value duty.

b. To progress recommendations set out in the second report:

i. Strengthening financial resilience, management and accountability and drastically improve income.

ii. Finalising a fully costed plan for restructuring the organisation by June 2023.

iii. Designing and implementing a new audit model alongside a clear corporate planning process and strong assurance framework that imbeds a new governance model within 12 months.

iv. Finalise the Authority’s transformation programme including completing a diagnostic review of the procurement function, taking steps to rebuild trust with residents and improving FOI performance.

v. Implement service level recommendations as outlined by Commissioners.

Section 3: The Intervention

Commissioners and the Authority

41. Commissioners are appointed by the Secretary of State to secure continuous improvement in accordance with the Directions. It is for the Commissioners to decide how they discharge their duties in working with the Authority.

42. The Directions give Commissioners specific executive powers where they can act in place of the Authority if they feel it is appropriate. Again, it is for Commissioners to determine how the powers are used in practice. The expectation is that the Council will continue to make decisions, with Commissioners exercising their powers when, in their view, sound judgement has not been exercised, processes have failed and/or members have sought to absolve themselves of the responsibilities for which they were elected. If Commissioners do exercise their powers and make decisions in place of the Authority, this will be done transparently.

43. The Secretary of State expects the Authority to adhere to the Directions issued with its utmost ability and for the Authority to fully cooperate with Commissioners in order to achieve an effective working relationship.

Frequency of Commissioner reports

44. The Secretary of State has asked for six monthly reports from the Commissioners, or at such other time as he might agree with the Commissioners. This allows for a process for regular review of whether it would be appropriate for any function exercisable by the Commissioners to be returned to the Authority. The next report is expected in February 2023.

Commissioner pay and expenses

45. The Directions provide that the Commissioners’ reasonable expenses and such fees as the Secretary of State determines are to be paid to them by the Authority. The Secretary of State is mindful of the need for Commissioner remuneration to represent value for money for local taxpayers. In recognition of the nature and scale of the intervention, he has determined fees of £1200 a day for the Lead Commissioner and £1100 a day for the other Commissioners.

Duration of the Intervention

46. The Secretary of State considers that any aspect of the Directions should only be long enough to achieve the stated objectives of the intervention. The Directions will remain in force until 9 June 2024 unless the Secretary of State considers it appropriate to amend or revoke them at an earlier date. The Secretary of State may decide to extend Directions beyond this date, or it may be appropriate to return functions before this time. The Commissioners have been appointed for the duration of the intervention.

The end of the Intervention

47. Where the Authority and Commissioners agree that it would be appropriate for the exercise of a function to be returned to the Authority, Commissioners will report this to the Secretary of State, setting out reasons, including clear evidence as to why the public could be expected to have confidence in the Authority exercising this function in compliance with the best value duty. The Secretary of State will carefully consider any such reports and, if agreed to, further Directions will be issued to this effect amending the Directions issued on 10 June 2021 and 8 November 2022. The Secretary of State has not ruled out the possibility that further functions might be brought under the control of the Commissioners.

1. City of Liverpool (Scheme of Elections and Elections of Elected Mayor) Order 2021 was made on 28 September formally moving the Authority to all-out elections from May 2023. The Local Government Boundary Commission for England published their final recommendations on 6 September 2022. ↩