Competition Appeal Tribunal to hear subsidy control dispute this week over £120m loans made by combined authority to developer

The Competition Appeal Tribunal will this week (27, 29 and 30 May) hear a dispute over loans made by the Greater Manchester Combined Authority (GMCA) to a property development firm.

The GMCA made loans worth £120m to two special purpose vehicles set up by Renaker for regeneration developments including affordable housing.

Appellant Aubrey Weis, owner of the rival Weis Group, argues that under section 70(1) of the Subsidy Control Act 2022 (SCA) the loans would not have been granted by a commercial operator or that the loans have been concluded on non-market terms and distorted the proper operation of the relevant market in and around Manchester.

He is seeking a declaration that GMCA granted an unlawful subsidy to Renaker and an order prohibiting this, and/or quashing of the loan arrangements.

The loans were made under the Greater Manchester Housing Investment Loans Fund by the combined authority.

Earlier this month the CAT granted access to Joel Weis, son of Aubrey Weis, to a confidentiality ring surrounding the GMCA loans.

The son was granted access only to limited specific parts of the confidentiality ring order bundle and must not further use or disclose these under threat of penal sanctions.