Liverpool city council tenants continued to suffer this week as their beleaguered repairs service descended further into chaos.
The council, which has more than 17,000 homes awaiting repair, announced on Tuesday that contractor Interserve had agreed to hand over the contract to rival firm Enterprise.

But Interserve denied the claim, saying contract transfer was just one option being looked at.

A company spokesman said: "The statement was premature, to say the least, and we are frustrated with the council for putting it out."

Enterprise declined to comment.

The council stood by its claim.

Councillor Richard Kemp, who was executive member for housing when the seven-year repairs contract with the company was agreed in 2000, said: "I would be delighted if Interserve was no longer the contract holder. Enterprise has provided an excellent service in other areas." He said the original contract had been awarded to another company, but was then taken over by Interserve.

Interserve staff went on strike in October in protest at 12 compulsory redundancies. The contractor is still in negotiations with union T&G.