Separately, a discrimination finding in a tender for project management services led to a £10,500 payment to MWJV Limited, due to biased invitations favoring Cornish sub-consultants.

The High Court ordered Cornwall Council to repay more than £2.1 million in European Regional Development Fund (ERDF) support tied to the A30 Chiverton Cross bridge contract after ruling the award was not properly advertised under procurement rules.

Authorities, including MHCLG, frame ongoing compliance efforts and audits as a continuing process, with legal action viewed as a last resort.

The repayment decision highlights broader scrutiny of procurement choices and adherence to equal treatment rules in public contracts.

The Secretary of State deemed the lack of advertising non-compliant with procurement rules, and Cornwall faces penalties over discriminatory tender practices related to Cornish sub-consultants in a separate contract.

Council says the ERDF bid and procurement strategy were clearly set out and supported at the time, noting 2023 audits found no issues while a 2024 audit raised concerns and demanded repayment.

Supporters argue the ERDF bid and strategy were endorsed by MHCLG, with earlier audits showing no procurement problems and later audits prompting repayment demands.

Cornwall Council maintains ERDF funds were spent appropriately and is considering appeal options and will respond to the court’s ruling accordingly.

The council contends that spending met ERDF timescales and that using the existing A30 contractor was the only practical procurement option to meet those timelines.

ERDF funds were allocated in early 2021, with constraints tying the bridge project timeline to National Highways’ program schedule.

The bridge contract was awarded to Costain Jacobs Partnership without proper advertisement, a breach of procurement rules acknowledged by the government and underlying the court ruling.

The court dismissed Cornwall Council’s challenge to the ERDF repayment, confirming the requirement to repay.