PRESS RELEASE
Issued by:
Councillor Simon Holbrook
Date of Issue: November 21st 2006
Contact number:
07766 511 097

WIRRAL LEADING THE WAY AGAINST ‘COMPO' CULTURE
£2m boost to Council funds

The Chair of Wirral Council's financial watchdog has welcomed a £2m boost to Council funds as a result of facing down the compensation culture. 

Liberal Democrat Councillor Simon Holbrook, Chair of the Council's Audit and Risk Management Committee says,

"This is really good news. For a few years now the Council has been pursuing a strategy of being ready to defend all claims, and we are now starting to see the benefits." 

“A robust approach discourages frivolous claims and allows proper attention to be paid to genuine claimants: it also gives better value to Wirral Council Tax payers. 

“Council Officers are to be congratulated on their success."

Many local authorities have been facing higher insurance bills as a result of the increased compensation culture and the introduction of the ‘no win no fee' system for legal help. 

Councillor Holbrook adds,

"Those organisations that choose to settle, where cases appear to be uneconomic to defend, only encourage further claims by setting a market rate; it costs more in the end.” 

£2m is being returned to Council funds from money which had been set aside to deal with compensation claims because of substantial performance improvements in dealing with claims.  Insurance costs for the next financial year are also expected to drop by £700,000.  The figures are contained in a report to the Council's Audit and Risk Management Committee.

Click here for the report to the Audit and Risk Management Committee