An internal year-end review at the City of London Corporation uncovered that almost £11,600 in international travel expenses had been incorrectly charged to the City Fund – the account part-funded by council tax and business rates. The bookings included a £1,725.22 stay at the five-star Shangri-La Tokyo and a £5,630.19 bill at a Radisson Blu hotel.
A Corporation spokesperson said no taxpayer money was ultimately used to pay for the items. All transactions were re-charged to the correct budget in April once the miscoding was identified. The travel was linked to the body's "international promotion of the UK's financial and professional services sector".
How the costs were flagged
The City of London Corporation is required by law to publish monthly details of spending above £500 relating to its local authority functions, which are funded through the City Fund. That fund is supported by retained business rates and council tax. Spending on promoting the City and the wider UK from the City's Estate is kept separate and does not appear in those reports.
The mis-coded entries were filed under the department "Mansion House", the official residence of the Lord Mayor. During the period in question, Alderman Alastair King was Lord Mayor until being replaced by Alderwoman Susan Langley, the current Lady Mayor. The role changes annually, with a new Lord Mayor elected in September and serving for 12 months from mid-November. The Lord or Lady Mayor is expected to carry out extensive overseas engagements to promote the Square Mile and generate business.
Breakdown of the wrongly billed expenses
The Local Democracy Reporting Service identified the following items in the Corporation's City Fund accounts for 2025/26, under the Mansion House department. They include costs for staff members as well as the Mayor. A spokesperson said such travel is not normally paid for through the City Fund, which made the entries stand out during the review.
- Foreign exchange fees: £265.61 across five transactions linked to international bookings
- Goodwood Park Hotel: £638.52
- Hotel Diplomat: £578.06
- Radisson Blu Hotel: £5,630.19
- Shanghai New Union Building: £853.93
- Shangri-La Tokyo: £1,725.22 (payment dated September 15, 2025)
- Taj Hotels: £1,583.44 (two payments of £791.72 each dated January 30, 2026)
- The St Regis Beijing: £312.58
The listed transactions total approximately £11,588, including the foreign exchange fees. The most expensive single item was the Radisson Blu hotel bill at £5,630.19. The Shangri-La Tokyo stay was dated September 15, 2025, while the two Taj Hotels payments were made on January 30, 2026.
Re-charged in full and safeguards introduced
The City Corporation said the expenses were re-charged in full in April after being discovered as part of the year-end review, and the transactions were moved "at the earliest opportunity". It is understood that controls have since been introduced to prevent the same miscoding from happening again.
The spokesperson said: "These costs were not met by taxpayers. All costs relate to our international promotion of the UK's financial and professional services sector, which is coordinated alongside the UK Government and industry."
The spokesperson added: "The sector contributes significantly to economic growth in all UK nations and regions; it generates around 12 per cent of total UK tax receipts – worth £110 billion – which helps pay for vital public services, and creates around 2.5 million jobs across the UK, two-thirds of them outside London."
The discovery follows a separate incident reported by the LDRS, in which Hounslow Council staff used the authority's credit card for personal purchases such as haircuts, podcast subscriptions and greeting cards. Those costs were also repaid once the error was found.
