The Daily Post understands the computer servicing charges were brought to KPMG's attention, although the deal was not mentioned specifically in its report.
Signed in July, 2001, it cost £230,359 in that financial year - rising to £251,026 in 2004/05, the last year for which a figure is available. For that fee, the city council receives technical support for just 90 councillors, plus their 30 support staff.
It excludes Blackberrys, carried by some leading councillors, and an unspecified number of new computers, which together cost a further £47,923 for servicing in 2004/05.
However, in a fierce defence of the deal, the city council insisted that it had helped "transform" its computer infrastructure.
A spokesman said: "It includes connection to and maintenance of a secure server, unlimited access to broadband for computers used at home and all the technology needed to support the system.
"It would not be in the council's interests to purchase computers without proper technical support in place. The service provided is far more comprehensive than that available at a high street electrical store."
The spokesman added that LDL had invested £60m in improved technology, helping the city council reduce its annual running costs by £100m.
However, he admitted: "A number of recommendations about the contract were made in the KPMG report which we are now in the process of implementing."
Liverpool City Council has refused to publish the full report, insisting it must be kept confidential for commercial reasons.
It has pledged to implement the recommendations by March next year, including ensuring LDL offers the cheapest deal for any new services it wants to take over.
FOR more news from the Liverpool Daily Post - click here
News RSS Feed