Wood Street/Fleet Street area is definitely the best drinking area of Liverpool. One of the best nights out you will find anywhere. Matthew Street is good also; this is where the Cavern is (if you are into the Beatles)
kookie....The Cavern is great if you haven't been there before....It's got the obvious history and also two sections (last time I was there) one with a band and one with a DJ !....It's a really great city in my experience....
I'd say that Liverpool would be great craic on new years. theres a little square (the one witht he big aussie pub)and at a guess I'd say that it would be as good as any place to be that night. if its anyway way dry or not even too cold the crowd will be mighty. I'm jealous. Enjoy.