LIVERPOOL Council spent £10m on agency staff last year, prompting calls for Merseyside authorities to set up their own employment agency.

It comes a day after it emerged the local authority was on course to spend almost £7m this year on consultants.

Last night, the Labour opposition suggested that Merseyside councils should create an employment agency to fill vacancies within the local authority.

Liverpool Council has an £11m gap in its budget next year, and may have to shed 1,000 jobs over the next three years.

Wirral faces a shortfall of £13.6m next year, while Sefton may have a £15m black hole and is looking to cut 400 jobs.

Last night, Liverpool Council said it was looking at a variety of options to make savings.

Cllr Paul Brant, deputy Labour leader, said: “It is an enormous sum on money to have spent and represents nearly all the budget gap that the council is facing in the coming financial year [£11m].

“Effective use of the council’s surplus staff could reduce the use of agency staff.

“The council should consider creating its own in- house agency with other local authorities as the NHS has done and significantly reduced costs.”

Liberal Democrat and executive member for corporate services Cllr Paul Twigger said the council was already looking at how it could introduce joint tendering.

He said: “What’s important for me is that we get value for money and that we operate in an efficient way.”