The authority is facing a potential deficit of £9.84m and residents will see a 4.99 per cent council tax increase for 2025/26. The £5.6m per year Trafford received from the airport group in dividends until 2020 would be a welcome contribution.
Manchester Airport Group is 64.5 per cent owned by the 10 Greater Manchester authorities, whose investments total around £250m. Manchester City Council is the largest investor at £143m, with other councils each contributing £13m.
Additionally, MAH has received nearly £30m in loans from Trafford over the last 14 years – £8.7m in 2009/10; £11.3m in 2018/19 and £9.7m in 2020/21. All of these loans will expire in the 2050s.
In 2024, Manchester Airport Group reported a revenue of £1.2bn, with adjusted profits of £507m.
The issue of the MAH was discussed at the council executive meeting as councillors reviewed the authority’s draft budget proposals.
Conservative group leader Cllr Nathan Evans expressed the need for pressure on the airport to pay back the loans. Council leader Cllr Tom Ross highlighted the importance of the airport recognizing its success and returning support to shareholders.
The draft budget report presented by Cllr Jo Harding revealed a budget gap for Trafford over the next three years, estimated to be £55.5m and £25.59m respectively for 2025/26.
Despite increases in council tax, Trafford continues to maintain lower than average council tax rates. Cllr Harding emphasized the financial challenges faced by Trafford and the need for a responsible approach to the budget.