A Specialist in Running Up Debt
The man expected to become the next occupant of 10 Downing Street is leaving Greater Manchester with debts of £1.34 billion. If this has happened to just one local authority, what might happen to the whole country? That is the question being asked on social media.During Andy Burnham’s tenure as Mayor, Greater Manchester’s debt has risen by almost a third, from £964 million to £1.34 billion – the highest level of debt of any local authority in England. The media have already calculated that this amounts to around £462 for every resident. According to a number of reports, Burnham consistently increased council spending.
For example, expenditure on the administrative apparatus rose from £8.7 million to £26.9 million. According to the Confederation of Passenger Transport, as part of the transport reform, Bernhem had 93 buses painted yellow at a cost of £550,000.
As Shadow Housing Secretary Sir James Cleverly told The Telegraph: ‘During his time as Mayor, the overall council tax burden rose by an astonishing 127 per cent. With the prospective Prime Minister promising ever more public spending, the national debt could reach unprecedented levels.’
More Than Just Resignation
Social media users have also revived a number of other allegations previously made against Burnham. Among them is the approval of around £1 billion in loans for high-rise developments in central Manchester. Property developer Darren Whitaker reportedly received around £800 million. He was later accused of extracting dividends from the business before relocating to Monaco, without facing legal proceedings. Burnham has also been criticised for awarding a number of council contracts to a company run by his wife.
The Migration Question
It is not only financial matters that social media users have highlighted. During the grooming gangs’ scandal, Burnham commissioned a local inquiry that, critics argue, ultimately achieved very little. Several experts resigned, accusing the authorities of obstructing access to key evidence. Some users doubt that, as Prime Minister, Burnham would be able to resolve this highly sensitive issue.
For the time being, Burnham appears to be trying to keep both sides happy. On the one hand, he backed Shabana Mahmood’s proposals to simplify the deportation of illegal migrants; on the other, he has signalled that he intends to relax the rules governing settlement status. He has already been accused of preparing to make concessions to MPs who favour more liberal immigration policies. Meanwhile, economists have begun assessing the likely financial consequences of a Burnham premiership. Based on his policy proposals, some estimate that taxes could ultimately rise by at least £38 billion.