THREE cash-strapped Lancashire local authorities, including Blackburn with Darwen and the county council, have lost more than £1million after the collapse of a training company.

They had invested the cash in careers advice and training provider the Via Partnership, originally known as Connexions, which went into administration in December.

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Lancashire County Council, which provides key services to 12 boroughs, has lost £500,000.

The all-purpose Blackburn with Darwen and Blackpool councils have each written off £300,000.

In December Leyland-based Via Partnership went into administration with the loss of 72 jobs.

Senior Tories, County Cllr Peter Britcliffe and Cllr Colin Rigby have accused the county and Blackburn with Darwen Council’s Labour leaders of failing to monitor the company properly.

Blackburn with Darwen resources boss, Cllr Andy Kay, said: “The £300,000 will come out of a contingency reserve set aside for bad debts and events such as these.

“It will not affect the delivery of council services immediately but may have some impact later.

“I am now concerned about how we continue to deliver these key services.”

His borough Tory counterpart Cllr Rigby said: “The company has clearly not been monitored properly and this is a big loss.”

County Tory group chairman and Oswaldtwistle county councillor Peter Britcliffe is angry at the wasted cash when the authority is closing libraries and young people’s centres to save £200million by 2021.

A Lancashire County Council spokesman said: “I can confirm the county council is planning to write off around £500,000 in relation to the Via Partnership.

“When issues with the company’s cash flow became evident, the county council along with the company’s other shareholders, actively explored the options for a management buyout or sale to a third party.

“It only became clear in early December last year that there was no realistic prospect of a sale.”