The £3m payment from Man City owners now being probed by local council

Following the local elections in May 2014, the Labour Party held all 96 seats on Manchester City Council. It was a one-party state without any real opposition.

Sir Richard Leese, as the party leader, and Sir Howard Bernstein, the council’s powerful chief executive, had been running Manchester for almost two decades and were now in complete control.

It was that same year that the city council signed a controversial profit-sharing property deal with Abu Dhabi United Group (ADUG), the ultra-rich owners of Man City football club.

The deal is being looked upon with fresh eyes and some concern in light of the Premier League cheating scandal, after it emerged that the authority received less than £3m for building almost 1,800 homes under the agreement.

Because ADUG booked its profits offshore, the council can’t be sure that this definitely represents the full value they should have received.

‘Heartbreaking’ shot wins Wildlife Photographer of the Year

EMBARGOED TO 2330 TUESDAY OCTOBER 13 PRINT USE ONLY. NO SALES, NO ARCHIVE, NO CROPPING. CAN ONLY BE USED IN CONNECTION WITH THE NATURAL HISTORY MUSEUM'S WILDLIFE PHOTOGRAPHER OF THE YEAR COMPETITION 2026 MANDATORY CREDIT: Agorastos Papatsanis/Wildlife Photographer of the Year Copyright in this image is retained by the photographer. THE FOLLOWING MUST APPEAR CLEARLY AND LEGIBLY IN EDITORIAL COPY: Wildlife Photographer of the Year is developed and produced by the Natural History Museum, London. USAGE RESTRICTIONS: Maximum number of images within a publication or website is up to 20 (twenty) images across multiple editions and pages unless otherwise agreed in writing between the publication and the Natural History Museum. All front cover requests must be approved by the Natural History Museum and the photographer. Undated handout photo issued by Natural History Museum of fluorescent fungi, by Agorastos Papatsanis, from Greece, the winner of Plants and Fungi category in Wildlife Photographer of the Year. Issue date: Tuesday October 13, 2026. PA Photo. Photo credit should read: Agorastos Papatsanis/PA Wire NOTE TO EDITORS: This handout photo may only be used for editorial reporting purposes for the contemporaneous illustration of events, things or the people in the image or facts mentioned in the caption. Reuse of the picture may require further permission from the copyright holder.

The winner has been crowned for the Natural History Museum’s annual Wildlife Photographer of the Year competition, ahead of an exhibition of the photos opening to the public later in the week.

The title went to Federico Veronesi, from Italy, for his image, “The Aftermath”, showing an elephant lifting the body of her dead calf. The chair of the judging panel described it as an emotional “gut punch” and “heartbreakingly poignant”.

EMBARGOED TO 2330 TUESDAY OCTOBER 13 ONLINE USE ONLY. NO SALES, NO ARCHIVE, NO CROPPING. CAN ONLY BE USED IN CONNECTION WITH THE NATURAL HISTORY MUSEUM'S WILDLIFE PHOTOGRAPHER OF THE YEAR COMPETITION 2026 MANDATORY CREDIT: James Lewin/Wildlife Photographer of the Year Copyright in this image is retained by the photographer. THE FOLLOWING MUST APPEAR CLEARLY AND LEGIBLY IN EDITORIAL COPY: Wildlife Photographer of the Year is developed and produced by the Natural History Museum, London. USAGE RESTRICTIONS: Maximum number of images within a publication or website is up to 20 (twenty) images across multiple editions and pages unless otherwise agreed in writing between the publication and the Natural History Museum. All front cover requests must be approved by the Natural History Museum and the photographer. Undated handout photo issued by Natural History Museum of a young bull elephant spraying a group of zebra at a waterhole in Kenya, by James Lewin, from United Kingdom, the winner of Animals in their Environment category in Wildlife Photographer of the Year. Issue date: Tuesday October 13, 2026. PA Photo. Photo credit should read: James Lewin/PA Wire NOTE TO EDITORS: This handout photo may only be used for editorial reporting purposes for the contemporaneous illustration of events, things or the people in the image or facts mentioned in the caption. Reuse of the picture may require further permission from the copyright holder.
EMBARGOED TO 2330 TUESDAY OCTOBER 13 PRINT USE ONLY. NO SALES, NO ARCHIVE, NO CROPPING. CAN ONLY BE USED IN CONNECTION WITH THE NATURAL HISTORY MUSEUM'S WILDLIFE PHOTOGRAPHER OF THE YEAR COMPETITION 2026 MANDATORY CREDIT: Federico Veronesi/Wildlife Photographer of the Year Copyright in this image is retained by the photographer. THE FOLLOWING MUST APPEAR CLEARLY AND LEGIBLY IN EDITORIAL COPY: Wildlife Photographer of the Year is developed and produced by the Natural History Museum, London. USAGE RESTRICTIONS: Maximum number of images within a publication or website is up to 20 (twenty) images across multiple editions and pages unless otherwise agreed in writing between the publication and the Natural History Museum. All front cover requests must be approved by the Natural History Museum and the photographer. Undated handout photo issued by Natural History Museum of a female elephant carrying a dead calf in Huab River Valley in Namibia, by Federico Veronesi, from Italy, the winner of Wildlife Photographer of the Year. Issue date: Tuesday October 13, 2026. PA Photo. Photo credit should read: Federico Veronesi/PA Wire NOTE TO EDITORS: This handout photo may only be used for editorial reporting purposes for the contemporaneous illustration of events, things or the people in the image or facts mentioned in the caption. Reuse of the picture may require further permission from the copyright holder.

An elephant-themed image also triumphed in the ‘Animals in their Environment’ category with James Lewin’s shot, one of five British photographers to win a category.

Telling animals’ stories

The winning entry from Young Wildlife Photographer of the Year featured a dung beetle pushing its cargo, which judges praised for revealing “an entire story”.

Loren Elliott from the USA won the Photojournalist Story award with a shot of a coyote walking above the Bay of San Francisco.

EMBARGOED TO 2330 TUESDAY OCTOBER 13 PRINT USE ONLY. NO SALES, NO ARCHIVE, NO CROPPING. CAN ONLY BE USED IN CONNECTION WITH THE NATURAL HISTORY MUSEUM'S WILDLIFE PHOTOGRAPHER OF THE YEAR COMPETITION 2026 MANDATORY CREDIT: Oscar Whitfield/Wildlife Photographer of the Year Copyright in this image is retained by the photographer. THE FOLLOWING MUST APPEAR CLEARLY AND LEGIBLY IN EDITORIAL COPY: Wildlife Photographer of the Year is developed and produced by the Natural History Museum, London. USAGE RESTRICTIONS: Maximum number of images within a publication or website is up to 20 (twenty) images across multiple editions and pages unless otherwise agreed in writing between the publication and the Natural History Museum. All front cover requests must be approved by the Natural History Museum and the photographer. Undated handout photo issued by Natural History Museum of a dung beetle pushing a ball of dung, by Oscar Whitfield, from United Kingdom but living in Zimbabwe, the winner of Young Wildlife Photographer of the Year. Issue date: Tuesday October 13, 2026. PA Photo. Photo credit should read: Oscar Whitfield/PA Wire NOTE TO EDITORS: This handout photo may only be used for editorial reporting purposes for the contemporaneous illustration of events, things or the people in the image or facts mentioned in the caption. Reuse of the picture may require further permission from the copyright holder.
RETRANSMITTING AMENDING CAPTION CORRECT CAPTION BELOW EMBARGOED TO 2330 TUESDAY OCTOBER 13 PRINT USE ONLY. NO SALES, NO ARCHIVE, NO CROPPING. CAN ONLY BE USED IN CONNECTION WITH THE NATURAL HISTORY MUSEUM'S WILDLIFE PHOTOGRAPHER OF THE YEAR COMPETITION 2026 MANDATORY CREDIT: Loren Elliott/Wildlife Photographer of the Year Copyright in this image is retained by the photographer. THE FOLLOWING MUST APPEAR CLEARLY AND LEGIBLY IN EDITORIAL COPY: Wildlife Photographer of the Year is developed and produced by the Natural History Museum, London. USAGE RESTRICTIONS: Maximum number of images within a publication or website is up to 20 (twenty) images across multiple editions and pages unless otherwise agreed in writing between the publication and the Natural History Museum. All front cover requests must be approved by the Natural History Museum and the photographer. Undated handout photo issued by Natural History Museum of A coyote pads along a trail in Bernal Heights Park, overlooking the city and bay of San Francisco by Loren Elliott, USA, the Winner, Photojournalist Story Award in the Wildlife Photographer of the Year. Issue date: Tuesday October 13, 2026. PA Photo. Photo credit should read: Loren Elliott /PA Wire NOTE TO EDITORS: This handout photo may only be used for editorial reporting purposes for the contemporaneous illustration of events, things or the people in the image or facts mentioned in the caption. Reuse of the picture may require further permission from the copyright holder.

Families forced to spend thousands on travel for sick kids

EMBARGOED TO 0001 WEDNESDAY OCTOBER 14 Undated GOSH Charity handout photo of Woody Grimwade (centre) with his mother Laurie and father Dave. Woody was diagnosed with a rare auto-immune disease in 2021. Families with seriously ill children should be supported with their travel expenses, leading experts have warned as one family revealed they had spent in excess of ??12,000 taking their son to appointments. Provisions are already in place to help families of children with cancer get to and from vital appointments. But experts from the Great Ormond Street Hospital (Gosh) Charity said that this scheme should be extended so families of children diagnosed with a serious illness can also receive assistance. Issue date: Wednesday October 14, 2026. PA Photo. Photo credit should read: Laurie B/PA Wire NOTE TO EDITORS: This handout photo may only be used in for editorial reporting purposes for the contemporaneous illustration of events, things or the people in the image or facts mentioned in the caption. Reuse of the picture may require further permission from the copyright holder.

Children’s health specialists have recommended extra funding to help families get to hospitals for treatment, after one family spent £12,000 travelling to Great Ormond Street Hospital.

Travel costs burden families

Experts from the hospital, which sees around 81,500 children and young people a year, are calling for funding to cover travel costs for all children with serious illnesses.

EMBARGOED TO 0001 WEDNESDAY OCTOBER 14 Undated GOSH Charity handout photo of Woody Grimwade, who was diagnosed with a rare auto-immune disease in 2021. Families with seriously ill children should be supported with their travel expenses, leading experts have warned as one family revealed they had spent in excess of ??12,000 taking their son to appointments. Provisions are already in place to help families of children with cancer get to and from vital appointments. But experts from the Great Ormond Street Hospital (Gosh) Charity said that this scheme should be extended so families of children diagnosed with a serious illness can also receive assistance. Issue date: Wednesday October 14, 2026. PA Photo. Photo credit should read: Laurie B/PA Wire NOTE TO EDITORS: This handout photo may only be used in for editorial reporting purposes for the contemporaneous illustration of events, things or the people in the image or facts mentioned in the caption. Reuse of the picture may require further permission from the copyright holder.
EMBARGOED TO 0001 WEDNESDAY OCTOBER 14 Undated GOSH Charity handout photo of Woody Grimwade, who was diagnosed with a rare auto-immune disease in 2021. Families with seriously ill children should be supported with their travel expenses, leading experts have warned as one family revealed they had spent in excess of ??12,000 taking their son to appointments. Provisions are already in place to help families of children with cancer get to and from vital appointments. But experts from the Great Ormond Street Hospital (Gosh) Charity said that this scheme should be extended so families of children diagnosed with a serious illness can also receive assistance. Issue date: Wednesday October 14, 2026. PA Photo. Photo credit should read: GOSH Charity/PA Wire NOTE TO EDITORS: This handout photo may only be used in for editorial reporting purposes for the contemporaneous illustration of events, things or the people in the image or facts mentioned in the caption. Reuse of the picture may require further permission from the copyright holder.

Laura Grimwade, whose 12-year-old son Woody has a rare autoimmune disease, estimates her family will have spent £15,000 travelling to and from Plymouth to hospitals in London by the time he is 18.

She said a fund would make “such a difference”.

Scheme should be extended, say doctors

LONDON - JANUARY 29: Great Ormond Street Hospital, January 29, 2004 in London, England. The Special Trustees of Great Ormond Street Children's Hospital who own the copyright to Peter Pan have authourised the creation of a new book which will share the same characters as the original story from Sir James Barrie's enchanting book. Nominated writers have been asked to submit a brief synopsis and a sample chapter by January 31, 2005 and the winner will be announced in the Spring. (Photo by Peter MacDiarmid/Getty Images)
  • The Government has already committed £10m of travel funding to families of children with cancer.
  • Doctors say this is a good start but other families should not miss out.

4 min read

The shocking human cost of UK’s killer kitchens revealed

Health and Safety Executive (HSE) inspectors found hundreds of breaches of health and safety law at more than 160 firms, with workers exposed to “billowing” silica dust, and issued an immediate ban to 50 firms.

What is silicosis?


  • The threat posed by the man-made stone comes from so-called “dry cutting” whereby particles are emitted in a fine dust as slabs are cut.

  • Engineered stone often contains as much as 95 per cent silica quartz – far higher than natural stone such as granite (about 30 per cent).

  • When engineered quartz dust is inhaled, it lodges in the lungs, triggering an aggressive immune response from the body.

  • Over time, scar tissue forms and spreads, slowly killing the lung. Many sufferers of silicosis remain asymptomatic until it is too late.

Hundreds of breaches

Luke Bunker, 29, a stonemason from Royston, Cambridgeshire, who was diagnosed with silicosis and emphysemia after working for 10 years at a firm cutting quartz worktops (Photos: Supplied by Irwin Mitchell law firm)


Unannounced visits by the HSE to workshops producing kitchen counters made from in-demand quartz have revealed hundreds of breaches of regulations designed to protect workers from inhaling toxic dust responsible for silicosis, an incurable and often fatal lung condition. 

4 min read

Cases of deadly lung disease could reach 1,000

Almost 60 stonemasons in the UK have so far been diagnosed with silicosis, with many falling ill or dying in their 20s, 30s and 40s.

Doctors believe the true number of silicosis cases is much higher and could reach as many as 1,000 people in a workforce of 7,000. 

4 min read

2 min read

The verdict from the HSE

Safety bosses said the inspection regime had revealed a “very mixed picture” of safety standards in the kitchen worktop industry.

Harvey Wild, HSE’s head of operations, said: “Where we’re finding things that are wrong, there isn’t just one thing wrong – there’s multiple things wrong. We’re taking a very strong enforcement line and people are getting multiple notices.”

Sun Valley, CA - October 31: A stone countertop fabricator wears a mask to help protect against airborne particles which can contribute to silicosis at a shop on Tuesday, Oct. 31, 2023 in Sun Valley, CA. (Brian van der Brug / Los Angeles Times via Getty Images)

3 min read

Why Trump is backing Putin over energy ceasefire deal


Donald Trump said Vladimir Putin “wants to make a deal more than” Volodymyr Zelensky of Ukraine as an “energy ceasefire” brokered over the weekend between Russia and Ukraine broke down overnight.

Ceasefire called into question

The US President announced a truce on striking energy facilities on Sunday, to the apparent surprise of both Russia and Ukraine.

While Ukraine claims no Russian sites have since been hit, they say Moscow has struck six plants, killing 33 people. Russia said yesterday that “contact is continuing”.

ANCHORAGE, ALASKA - AUGUST 15: (EDITOR'S NOTE: Alternate Crop) U.S. President Donald Trump (R) greets Russian President Vladimir Putin as he arrives at Joint Base Elmendorf-Richardson on August 15, 2025 in Anchorage, Alaska. The two leaders are meeting for peace talks aimed at ending the war in Ukraine. (Photo by Andrew Harnik/Getty Images)

3 min read

What has the UK said about it?

Foreign Secretary Ed Miliband told other dignitaries at the Warsaw Security Forum today that they needed to “take seriously” the “full energy ceasefire” and that Putin should be held to to it.

British Foreign Secretary Ed Miliband and Ukraine's President Volodymyr Zelenskiy speak to the media while they visit the site of an apartment building where 22 residents were killed yesterday morning by a Russian missile strike in the town of Pryluky, amid Russia's attack on Ukraine, in the Chernihiv region, Ukraine, October 8, 2026. REUTERS/Valentyn Ogirenko
Britain's Foreign Secretary Ed Miliband attends the panel discussion 'The Return of Power Politics: Europe Between War and Rivalry' at the 2026 Warsaw Security Forum in Warsaw, Poland, October 13, 2026. REUTERS/Aleksandra Szmigiel

He also told the assembled officials from Poland, Norway and Germany that the resolve of Europe is “being tested” by hybrid attacks on Nato countries, but that Russia is “not winning this war”.

Two ships hit off Bulgarian coast by Russian drones

An archive handout image shows the general cargo vessel ABLE in Istanbul, Turkey, at an unknown date. The vessel was struck in a drone attack, which, according to the British maritime risk management group Vanguard, took place within the Bulgarian economic zone of the Black Sea on October 6, 2026, while it was sailing under the flag of Palau. Tony Hogwood/Handout via REUTERS THIS IMAGE HAS BEEN SUPPLIED BY A THIRD PARTY. MANDATORY CREDIT. WATERMARK FROM SOURCE. BEST QUALITY AVAILABLE VERIFICATION: The location was verified by the tower, mosque and waterway, which matched satellite and archive imagery. The vessel was identified as the ABLE by its superstructure and paint, which matched archive imagery of the vessel. British maritime risk management group Vanguard said the Palau-flagged general cargo vessel ABLE was attacked on October 6 within Bulgaria???s economic zone.
  • One ship sunk and another was badly damaged last night.
  • President of the EU Commission, Ursula von der Leyen, condemned the attack as “unacceptable”.

4 min read

How you can help boost dwindling hedgehog numbers


A “call to action” has been issued by researchers who found a dramatic drop in hedgehog populations since the 80s.

hedgehog

The study by the conservation group at the University of Cambridge found a 71 per cent drop in hedgehog populations between 1981 and 2023.

The number of rural areas where they live fell by 80 per cent between 2002 and 2023, but the numbers living in urban areas rose between 2004 and 2024.

FILE PHOTO: A hedgehog walks across grass in Pitlochry, Scotland, August 11, 2015. REUTERS/Russell Cheyne/File Photo

2 min read

Why are hedgehogs in decline?

“The fact that they’re doing really badly should be a call for action”

Assistant research professor Silviu Petrovan said the hot, dry summer means hedgehogs will have less to eat than usual, as the slugs and worms they like thrive in wet weather.

The intensification of agriculture and increase in roads has caused the hedgehog’s habitat to shrink over the past few decades.

Igel Mutter mit Kind

Is there any hope for the hedgehog?

The study combined data from surveys which were not specifically looking for hedgehogs, such as roadkill figures and garden birdwatches, so they may point an overly negative picture.

Gardens can act as refuges for hedgehogs, and conservationists advise leaving wild corners for the animals and small holes in fences so they can move freely. Replacing fences with hedges can also help, and pesticides should be avoided.

Terrorists could attack UK with bioweapons, warns MI5 chief

Terrorists could harness artificial intelligence to create destructive biological weapons, the head of MI5 warned today, as he launched a new spy-led AI Threat Assessment Centre to assess the risks of the emerging technology.

Head of MI5 gives annual address on nation’s security

“Many terrorists would dearly love to have some kind of capability of getting [a] biological or meteorological weapon. This is not yet manifest. But one risk is that AI could allow dangerous knowledge to get into their hands”

Sir ken mccallum, director general of mi5
Director General of MI5 Sir Ken McCallum delivers the annual Director General's Speech at Thames House, the headquarters of the UK's Security Service in London, Thursday Oct. 16, 2025. (Jonathan Brady/Pool Photo via AP)

New AI Threat Assessment Centre

(FILES) This photograph shows a handheld smartphone displaying the icons of some of the main artificial intelligence based apps, including LLMs, chatbots and generative AI, with logos (from L) of Proton AG's Lumo, Meta AI, Mistral Vibe (formerly Le Chat), xAI's Grok, Microsoft's Copilot, Google's Gemini, Anthropic's Claude, Perplexity, Deepseek, OpenAI's Chat GPT, Google's Notebook LLM and generative AI music app Suno, in Saint-Mande, east of Paris, on July 15, 2026. Top AI executives say they want to slow the breakneck pace of artificial intelligence development, but competition, US government reluctance and geopolitical factors stand in the way. On September 12, 2026, Anthropic CEO Dario Amodei advocated for a coordinated slowdown of AI development to better understand the risks arising from the technology's capabilities. He received public support from his counterpart at OpenAI, Sam Altman, as well as from Elon Musk and Google DeepMind chief Demis Hassabis. In recent months, OpenAI and Anthropic have reported several incidents in which AI systems spontaneously broke out of their confined environments to access the internet and attack websites and platforms. (Photo by Martin LELIEVRE / AFP via Getty Images)
  • The centre will combine information from spies and open sources.
  • The aim is to “seize the huge opportunities of Al and manage the risks thrown up by its misuse”.

5 min read

Burnham warned over Russian trolls


The head of MI5 warned the Prime Minister not to re-run old battles at risk of amplifying the Russian trolls and bots who sowed division by interfering with elections.

Director General of MI5 Ken McCallum speaks at Thames House, the headquarters of the UK's Security Service in London, Tuesday Oct. 13, 2026. (Jonathan Brady/PA via AP, Pool)
ONE EDITORIAL USE ONLY. NO SALES. NO ARCHIVING. NO ALTERING OR MANIPULATING. NO USE ON SOCIAL MEDIA UNLESS AGREED BY HOC PHOTOGRAPHY SERVICE. MANDATORY CREDIT: House of Commons Handout photo issued by the House of Prime Minister Andy Burnham making a statement on an international update in the House of Commons, central London. Picture date: Monday October 12, 2026. PA Photo. Photo credit should read: House of Commons/PA Wire NOTE TO EDITORS: This handout photo may only be used in for editorial reporting purposes for the contemporaneous illustration of events, things or the people in the image or facts mentioned in the caption. Reuse of the picture may require further permission from the copyright holder.


This came after Burnham told MPs yesterday that there was evidence Russia had interfered with the result of the 2019 general election.

Greatest threats to the UK

“Russia remains aggressor number one, as Putin’s Kremlin continues to lash out at the UK and its allies”

McCallum said Russia is “escalating” attempts at hybrid warfare, whilst avoiding “conventional conflict”.

He also mentioned Iran “attempting to expand” a similar hybrid campaign and “extreme right-wing terrorism” especially among young people.

Watch more from The i Paper

The i Paper understands Manchester council’s new generation of leaders – including chief executive Tom Stannard, who joined in 2025, and Garry Bridges, who was elected Labour leader last month – are now “seeking assurances” over the 2014 agreement.

It is a reassessment that could lead to fresh questions for Andy Burnham, who has been criticised for his reaction to the Man City saga and alleged closeness to the club’s Abu Dhabi owners.

Manchester’s current leaders do not believe there was any foul play in previous dealings with Abu Dhabi, but The i Paper understands that there is an acceptance that some property agreements which were made under previous administrations would not be made now, and a desire to put some distance between the parties going forward.

A previous council report, published in July, had already discovered “weaknesses in documentation, monitoring and assurance, particularly around historic overage arrangements”.

The repositioning has been echoed by Bev Craig, Labour leader of Manchester City Council from 2021 until August this year when she replaced Burnham as Mayor of Greater Manchester.

When asked about deals with ADUG on BBC Radio Manchester last week, Craig stated that she “wasn’t around in the decision-making of the time” but praised the wider investment which has helped deliver new facilities to the city, including a library, leisure centre and sixth form college.

Craig said she has never seen any evidence of “wrongdoing” but added: “There are no live deals on the table with the GMCA [Greater Manchester Combined Authority] or Manchester City Council that take us into the future.

“I’m pretty assured in terms of what I’ve seen, but it isn’t something that’s relevant to the future.”

More awkward questions over Abu Dhabi links

Critics say Burnham’s judgement should be called further into question by the fact that his former colleagues in Manchester are now trying to distance themselves from the Abu Dhabi owners.

When first asked by the BBC about the consequences of Man City’s financial cheating, Burnham said he would be “concerned” if the owners walked away from the club, prompting accusations of political interference.

He later backtracked, insisting that “no one is above the rules” and that those found to have broken them should face “appropriate consequences”.

Man City strongly denies the findings of an independent commission, which said the club is guilty of more than 100 offences of breaching financial rules and has submitted an appeal.

But Burnham’s opponents have leapt on his initial comments.

Hannah Spencer, the Green Party MP for Gorton and Denton, told The i Paper that Burnham has “serious questions to answer about why he seems so keen to back Manchester City’s billionaire owners” and raised concerns about the deals for “luxury high-rises” that were approved under Burnham’s time as mayor.

Burnham has said he will publish all details of his dealings with Man City in his previous mayoral role.

Details of the council deal now under the spotlight

The 2014 property venture between ADUG and the council has become one of Manchester’s most successful developers.

Named Manchester Life, the company has built around 1,800 flats around Ancoats, a former industrial slum now often described as one of the “coolest neighbourhoods in the world”.

But critics say the council gave away land too cheaply to ADUG and didn’t get enough in return.

According to details of the deal shared with The i Paper, the council was not entitled to receive any “overage” payments – extra cash given to a landowner after the value of the property has increased – for more than 10 years.

A “collaboration agreement”, signed in 2015, also said that the council would not be paid until ADUG had recovered all its costs, plus an 8 per cent annual return on the first phase of the development, and 10 per cent on the second phase of development.

As such, Manchester council only received the first overage payment of £2.9m in the past two years. It is understood a second payment is currently being calculated.

Under the terms of the deal, Manchester council also agreed to give ADUG “first dibs” on buying up any public land within a defined area of the city – an arrangement which has been described as a “sweetheart deal”.

An internal review

The council did receive more than just the overage payments. At least £5.2m was generated from the land it sold to the joint venture and a further £17.6m has been raised in council tax income from Manchester Life properties.

However, it is understood that commentary on the deal in the fallout of the Man City cheating scandal has prompted the council’s leaders to carry out an internal review.

A source said that given the “current speculation” around Man City owners’ dealings with leaders in Manchester, the council’s current leadership is “seeking assurances” on deals made “before their time”.
Bernstein died in 2024 and Leese has come out in his defence of both the deal and Man City’s owners more generally, insisting the club will be proven innocent of breaching financial rules and that their investment was crucial to the regeneration of Manchester.

Both Bernstein and Leese accepted positions at Man City after stepping down from their council roles.

Leese, who is honorary president of Man City football club, has claimed that the 2014 ADUG deal was signed at a time when there was little interest in developing land in Ancoats.

Addressing the idea that land was given away too cheaply, he told the BBC: “The point is, the investment from Abu Dhabi is what created the value.

“That deal allowed development to be kick-started – particularly in the Ancoats area.

“All of this was documented and went through reports that went through the council’s due processes.

“I think it has been demonstrated that the deal was a good deal and a good deal for Manchester.”

A spokesperson for Manchester Life said: “We’re proud of what Manchester Life has achieved in Ancoats and New Islington. Established in 2014 in response to the city’s housing and regeneration priorities, Manchester Life brought long-term investment to an area where major residential developments had stalled, accelerating housing delivery and helping to restore market confidence.

“The model combined the council’s contribution of land at market value and strategic oversight with ADUG’s private investment and development expertise. ADUG provided all development equity and assumed the associated risks, while the council retained the opportunity to share in additional development value through overage arrangements.”

Original source The £3m payment from Man City owners now being probed by local council

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