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Seven council staff have been arrested on suspicion of fraud.

Police arrested eight men on Wednesday morning, seven are council staff.

They have all been released on police bail.

It is understood they all work at the waste management service at Cardiff council.

A spokesman for Cardiff council confirmed the authority was working with South Wales Police “while this investigation continues”.

No further details have been given about the allegation.

The Liberal Democrat group have said on Facebook that the move is “concerning”.

A statement said: “We are confident the council will act with transparency in providing the police and, in due course, the public with any information they need.”

South Wales Central AM Andrew RT Davies said: “Residents from across Cardiff will be extremely concerned about the ongoing investigation – which apparently relates to the waste management department.

“Very few details have been released – other than that 8 arrests have been made and all have been released on bail.

“Any allegations of fraud are especially serious – and it is vital the council co-operates fully with the police.

“This comes at a time when the council is looking to raise council tax by as much as 5% - and this development will do nothing to improve local people’s confidence in the system.

“It is vital proper investigations are carried out – and that the situation is clarified as soon as possible.”