Dorset Council has gone out to tender for its banking services – at a likely cost of £1.2million over the maximum eight-year contract.

An open tender process was advertised in mid-October with the new contract expected to be awarded in late December, with any changes taking place in January. The authority believes it can generate some savings from the change.

The previous councils all had different providers of banking services – Dorset County Council banked with NatWest, Purbeck District Council with Lloyds, and East Dorset District Council, North Dorset District Council, West Dorset District Council and Weymouth and Portland Borough Council with HSBC.

Said a report to councillors: “Now that the predecessor councils have come together as one organisation, having multiple bankers is not the most efficient and effective way to operate, so we wish to appoint a single provider of banking services for Dorset Council. Appointing a single provider will allow processes to be streamlined and simplified.”