A developer has been handed back £27m of taxpayers' money it borrowed to build luxury flats in Manchester city centre - despite refusing to say why it needs the cash. The Manchester New Square development in Whitworth Street, which was completed last year, benefited from a £51m publicly funded loan in 2017.
Last month, the developer behind the scheme of 351 apartments had its request to refinance some of that loan approved by local authority leaders. But when asked why the completed scheme needed the money, developer Urban and Civic said it could not comment on 'confidential matters'.
The Greater Manchester Housing Investment Loans Fund helps kick-start developments, spending the surplus income generated on other schemes. However, the loans are often given to schemes with no affordable housing.
