A council-run garden nursery that has lost council taxpayers £120,000 over three years is "an exercise in how not to run a business", it is claimed.
The facility in Stoke Road, Taunton, set up to provide plants for councils and businesses, lost £37,000 last year - equivalent to nearly 1% of council tax raised by Taunton Deane Council.
The figures emerged this month, nine months after they were requested by the LibDem opposition group.
Cllr Habib Farbahi (LibDem), who used to own a private nursery and garden centre, said: "It's an exercise in how not to run a business on commercial lines.
"I find it almost comical that a report states that contracts are not for profit and that if they were priced to be we may not win them.
"What other kind of business contract can you have?
"The lack of a commercial approach towards the nursery should cause major concern regarding the council's ability to act with commercial sense under the current (Conservative) administration."