Manchester Airport Should Not Be Sold (Manchester Liberal Democrats Online)

Manchester Liberal Democrats Online <info@manchester-libdems.org.uk>

Manchester Airport Should Not Be Sold

August 21, 2007 12:22 PM

Manchester Lib Dems Oppose Selling Off the Airport

Manchester Liberal Democrat Leader Councillor Simon Ashley has slammed Tory MP Graham Brady's idea to sell off Manchester Airport as "interesting but a non-starter". Mr Brady, writing in the Spectator, would use the money to set up a "Manchester Fund" for good causes.

Cllr Ashley said:

"Selling Manchester Airport is a bad idea. I can give Mr Brady six good reasons why Lib Dems oppose selling the airport - I challenge him to answer the questions I raise."

1) Manchester Council would put in ten times as much to the fund as the other nine Councils put together, because it owns ten times as many shares. Why should the Council with the most poverty subsidise the more wealthy boroughs?

2) What guarantee is there that Government would not reduce our grant accordingly, or want a piece of the action?

3) Any potential buyer would know the Airport had to be sold, because any decision to sell would have to be made by ten Councils simultaneously and in public. In these circumstances, how would you ensure that the Airport would be sold for the full market price?

4) The Airport will be expanding for the next twenty years. What is the logic to selling now?

5) How would you stop the value of the fund from dropping in real terms over time?

6) How would you ensure the Council's current ability to borrow against the Airport's assets is protected?

Cllr Ashley concluded:

"I accept that there is no ideological reason why a Council should own an Airport. However, Manchester Airport is currently well run and profitable, and returns £25million a year in dividends. So far, no-one, including Mr Brady or Peel Holdings, has put together a case that convinces me we should sell off Manchester Airport."

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