AN internal audit will be carried out after the original estimated cost of the renovation of a council building doubled.

Blueschool House in Blueschool Street in Hereford is being refurbished by Herefordshire Council to become a joint customer services hub, which will include the council's central customer services team, the Department for Work and Pensions (DWP), Jobcentre Plus and housing services.

Councillors initially approved the project cost of £950,000, but due to various issues which arose this has risen to £1.92m.

Last Thursday cabinet members approved the recommendation to provide the additional £970,000 needed.

Director for economy, communities and corporate Geoff Hughes said: "I think it is with disappointment that we bring this report. Overall the project we are taking forward is a positive project. It makes good use of a building and has a positive net return to the council of £1m over the next ten years."

He said it also brings together a range of customer services in a city centre building.

Mr Hughes said the project has identified a number of weaknesses in cost planning for and monitoring of property related capital projects, and as a result an internal audit will be carried out by the South West Audit Partnership.

The difference in cost was due to a number of issues including fees and furnishings not being included in the original decision; extra roofing costs were over the original allowance; and the cost of fireproofing of all existing steelwork once exposed.

Cllr Jonathan Lester asked: "Had you had known the cost as they currently present themselves would the recommendation still go ahead?"

Mr Hughes said it would have because of the benefit it brings.

Cllr Anthony Powers, leader of It's Our County, said: "Mr Hughes said he is disappointed. I am frankly astonished that this had had to be the case.

"The items in paragraph six, most or all of those should have been anticipated in the original estimate."

Cllr Bob Matthews, leader of the Independents, said: "This is an appalling situation. Not only this, there have been other instances where things haven't been quite as they should be."

Earlier in the year Cllr Matthews raised concerns about how council money is being spent in respect of the disposal of assets and accommodation management generally.

The Department for Work and Pensions (DWP) has contributed £400,000 to the project, while The Homes and Communities Agency has contributed £300,000. Borrowing of £225,000 is also based on DWP revenue contribution.