Glastonbury's flagship Town Deal project has become a cautionary tale — prompting Somerset Council to launch a sweeping internal audit of other schemes it oversees after errors in financial oversight were laid bare.

The Life Factory regeneration — backed with £2.9m of government cash and meant to transform part of the Red Brick Buildings into a community space — hit the buffers in 2024. Work was paused amid concerns over progress and how the council was managing the money as the accountable body.

At a recent audit committee meeting, Somerset Council chief executive Duncan Sharkey admitted the authority had "got it wrong" in how the project was handled. His blunt message was that processes must improve to avoid similar problems elsewhere.

The council has now ordered a full review of all projects for which it holds funding for external organisations, to ensure weaknesses in oversight are not repeated.

The Life Factory debacle culminated in the voluntary liquidation of Beckery Construction Company Ltd — the firm set up to deliver the works — leaving 26 creditors owed more than £686,000. Somerset Council stressed it isn't legally responsible for those debts because contracts were held directly by the company, not by the council.

Finance director Clive Heaphy told councillors Glastonbury was the only one of 101 Town Deal areas nationwide known to be experiencing such issues — a distinction no one wanted. He said the council needed to "get the basics right" in its role as accountable body.

Concerns were also raised about the Glastonbury Food and Regenerative Farming Centre project, with Conservative councillor Sue Osborne warning it may be at risk if oversight falls short.

Councillor Mandy Chilcott said some contractors may have wrongly assumed council involvement meant financial protection. "They are our people. They are in Somerset. And I'm sure we all care very deeply about them," she told the meeting.

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