'Tory Treasurer's advice cost local councils £470m'

On Saturday we noted that Michael Spencer was preparing to 'blow Labour out of the water' in terms of fundraising for the next General Election.

Mr Spencer, Tory Treasurer, is the subject of a much less encouraging story in today's Independent.

Following a two month investigation The Independent's Martin Hickman alleges that "councils who paid [a firm run by Mr Spencer] for strategic advice were almost twice as likely to have lost money in the three main Icelandic banks as those advised by other companies."

He continues: "Of the 116 local authorities who lost money, 51 received advice from Butlers. Their losses totalled £470m, more than half the total amount of council funds frozen in the banks."