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Manchester City Council has promised it will not increase council tax or cut services to meet the£3 million repair...
Manchester City Council has promised it will not increase council tax or cut services to meet the £3 million repair bill following the IRA bomb blast in the city centre.

The losses stem from damage to the roads and council-owned buildings as well as loss of income.

Insurance loss adjusters estimated this week that the total damage to the city centre would be around £400m.

The combined claims from Manchester and the London Docklands bomb earlier this year will mean a 66% increase in council insurance premiums (LGC, 28 June).

Manchester does not have insurance cover for road repairs, estimated at £2m, or for the costs of the safety and clean- up operations, which will cost around £600,000.

The damage to two city centre car parks cost £250,000 in lost income in the two weeks following the explosion.

The council has requested help from the DoE under the Bellwin scheme, which offers financial assistance to councils hit by disasters.

'Because of prudent budgeting over the past few years, we have sufficient contingency funds to make sure there will be no reduction in our services to pay for the bomb damage,' said Manchester leader Richard Leese.

'We are researching all available sources of money to see if Manchester qualifies for grants and we will do our utmost to make sure no-one pays for the IRA bomb with his or her job,' he said.

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