The resignation of a senior Manchester city council director has prompted fresh scrutiny of the council's 2017 purchase of Central Retail Park, which cost around £35m. A GVA valuation put the site at £33m while a rival bidder offered up to £31m; the director reportedly objected to endorsing the higher valuation and resigned after raising concerns. The site had been linked to a 2015 collaboration agreement giving Abu Dhabi United Group first-offer rights on certain plots; the planned redevelopment did not proceed and part of the land was reassigned in 2025 for a government campus.
Senior Manchester Council Director Resigns After Contested £35m Land Purchase Linked To Abu Dhabi
The site in question is now being developed as the site for Andy Burnham's 'Number 10 of the North' - PA/Oli Scarff
A senior Manchester city council director resigned in protest after being asked to prepare a report recommending the purchase of a dilapidated retail site at a price he believed exceeded its value. Confidential council papers seen by The Telegraph indicate the site was intended to be reserved for Abu Dhabi investors as part of a future redevelopment.
Background
Andy Burnham was mayor of Manchester when the purchase was negotiated. The council bought Central Retail Park in 2017 for about £35m. That figure is reported to be several million pounds above a rival offer and slightly higher than a third-party valuation provided to the council.
What Happened
According to sources and documents released under Freedom of Information rules, the council commissioned a valuation from GVA Associates that estimated the site's value at £33m. Around the same time another developer raised a bid from £29m to £31m. Council records suggest officials used that higher rival bid to support the council's decision to pay roughly £35m.
Andy Burnham had a close relationship with Khaldoon al-Mubarak, the Manchester City chairman and praised the club's owners for investment in Manchester - AFP/Paul Ellis
Whistleblower Concerns
The departing director—a senior figure at Manchester City Council, not the Greater Manchester Combined Authority—allegedly raised objections to the valuation he was being asked to endorse and wrote an "excoriating" letter to then-chief executive Joanne Roney saying officials were being asked to carry out tasks that left them ethically compromised. He reportedly resigned in protest when he felt his concerns were not addressed.
Links To Abu Dhabi
Manchester City Council entered a 10-year collaboration agreement with the Abu Dhabi United Group (ADUG) in 2015. That agreement reportedly gave ADUG a right of first refusal on certain council-owned tracts to be developed through a joint venture. The Central Retail Park was later the subject of a separate collaboration agreement discussing a "comprehensive redevelopment" with ADUG, though that plan did not materialise.
Political Fallout
The episode has renewed scrutiny of council dealings with UAE-linked investors, coming amid wider controversy over Abu Dhabi's ownership of Manchester City Football Club. The club was found guilty of Premier League financial irregularities and is appealing; the UAE government reportedly warned it might reconsider some UK investments in response to the verdict.
Manchester City are owned by Abu Dhabi Investment Group, which is owned by Sheikh Mansour bin Zayed Al Nahyan, vice president and deputy prime minister of Abu Dhabi - Getty Images/Tom Flathers
Council And Former Officials' Responses
A Manchester City Council spokesperson defended the acquisition, saying the purchase "ensured that the site can complement the wider regeneration of the area" and that the price reflects the site's value as a significant city-centre regeneration opportunity. The council added that the cost would be recovered through long-term development.
Joanne Roney, the council chief executive at the time who has since moved to Birmingham City Council, said any allegations raised with her then would have been referred to audit for an external independent review.
Aftermath
For reasons that remain unclear, the Abu Dhabi-backed redevelopment did not proceed and part of the site was reassigned in 2025 to create a new government campus. The resignation of the senior director has prompted calls for greater transparency over how public land and public funds are used when deals involve international investors.
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