Burnham Promised Affordable Homes. He Built Luxury Towers For Chinese Investors
Before Andy Burnham stood for Mayor of Greater Manchester in 2017 he was explicit about what he would do with the region's housing investment fund. He criticised public loans for city centre and luxury schemes. He promised to renegotiate the fund so it would fully focus on the long term goal of an affordable home for all. Here is what he actually did.
Burnham's Greater Manchester Combined Authority lent £578 million in public money to a single developer, Daren Whitaker of Renaker. In March 2024 Burnham chaired a meeting that approved £120 million in loans to Renaker companies in the space of one minute. Out of 11,000 homes built with that public money, 503 are classed as affordable. Less than five percent. Since 2020 Whitaker's personal fortune has grown from £140 million to an estimated £698 million, making him one of the wealthiest individuals in the North West. He briefly registered his residency in Monaco before switching it back to Britain.
A tribunal found that GMCA failed to obtain a statement of assets and liabilities from Whitaker before lending him the money, exposing taxpayers to a risk the tribunal described as potentially wiping out the public funds. Whitaker also received a £40 million dividend payout despite restrictions in the original loan agreement. The GMCA would not say whether it knew about or approved those payments. The terms of the loans remain secret. A Court of Appeal hearing on £140 million of those loans is scheduled for June 9. Nine days before the Makerfield by-election.
The China dimension is where the story connects to something considerably larger. The taxpayer backed developments were actively marketed to Chinese buy to let investors through Hong Kong estate agents. A marketing event was held in Hong Kong just weeks before the GMCA approved a £69 million loan for the Contour development. Hundreds of flats in taxpayer backed skyscrapers have been sold to Asian investors according to Telegraph analysis of Companies House filings.
Angela Rayner, then Deputy Prime Minister, was simultaneously telling the Telegraph that it was a real frustration that international investors could buy up houses before local people get a look in. Her government's mayor in Manchester was lending public money to a developer marketing those same homes to Chinese buy to let investors in Hong Kong. Labour was pledging a stamp duty surcharge on overseas landlords while its most prominent northern mayor was facilitating exactly the investment it claimed to oppose.
For Makerfield voters the question is direct. The constituency sits within a region where 18,000 people have no permanent address and one in 61 Manchester residents is homeless. The man asking them to send him to Westminster promised in 2017 to focus public money on affordable homes for all. He then lent £578 million to a developer who built luxury towers now owned by Chinese landlords, extracted dividend payments despite loan restrictions, and left taxpayers exposed without conducting adequate financial checks.
For Britain as a whole the question is broader. The pattern of accommodating Chinese financial interests runs from the super embassy in London to the spy trial collapse to Mandelson's undisclosed relationship with China's finance minister. The Renaker story adds a further dimension. Public money, lent without adequate due diligence, flowing into luxury developments marketed directly to Chinese investors, by the mayor now seeking to become Prime Minister.
The Court of Appeal will hear the case on June 9. The voters of Makerfield deliver their verdict on June 18. Both deserve an honest answer.
"Burnham's Greater Manchester Combined Authority lent £578 million in public money to a single developer, Daren Whitaker of Renaker."
ALT Andy Burnham
ALT Daren Whitaker