As a council employee, Stephen Crewdson, 46, of Ducie Street, Manchester, was in a position where he approved suppliers’ invoices.

Between July 2007 and December 2012, Crewdson arranged for two building suppliers to bill the council for work that never actually took place. Money paid to the builders was then laundered through various bank accounts back to Crewdson.

In 2011, Crewdson created his own fake VAT-registered company BBM ENG in an attempt to disguise his crimes while HMRC investigators were beginning to check suspicious transactions.

However, on 11^th November this year, Crewdson was found guilty of fraud and money laundering at Preston Crown Court and jailed for seven and a half years.

As he sentenced Crewdson, His Honour Judge Knowles QC said: “You have been convicted on most overwhelming evidence and your brazen lies.

“You were in breach of trust at LCC and of the public of Lancashire.

“You have used two local businesses, generated bogus invoices and tried to cover your tracks.

“The people of this county, taxpayers, are your victims and all to satisfy your greed.”

A spokesperson for Lancashire County Council added: "We are pleased with the verdict and that this matter has been resolved.

“The county council takes fraud extremely seriously and we have worked closely with the police and HMRC to help bring this successful prosecution."

It was found that Crewdson had received a total of £873,158.40 into his personal bank account and his BBM business bank account.

Crewdson will now face legal action to recover the stolen money.