The Government will pay our city the full costs of the Manchester Arena terror attack, Theresa May has told the M.E.N.

In a dramatic U-turn, the Prime Minister has vowed that the total amount spent by police, NHS bodies, and councils in dealing with the May 22 attack - which claimed 22 lives - will be compensated by Number 10.

It comes after outrage on Friday when Number 10 announced it would pay £12m of the £17m asked for by local leaders, arguing it had a duty to reimburse only ‘reasonable costs’

(Image: PA)

Savaging the government’s response, GM Mayor Andy Burnham revealed that the true cost of the attack could run to £28m.

But in a climbdown, Ms May has now stated that the city will get everything it needs and has committed to covering every cost incurred by services who helped victims and their families.

Mrs May exclusively told the Manchester Evening News : “Be in no doubt, Manchester will get the financial support it needs – and if that costs £28m, as Andy Burnham has estimated, then that is what we will make available.”

A taskforce has been set up within the Cabinet Office to make sure different Government departments responsible for processing different payments to Manchester all work together, the M.E.N. can reveal.

The PM said the taskforce would work to ‘oversee, progress and expedite payments when necessary’.

(Image: Joel Goodman)

She said in the statement to the M.E.N.: “I promised in the wake of the appalling atrocity this Government would do all it could to help victims recover and the city to heal. I repeat that commitment today.

“Where your public services have had to bear, or will bear, unexpected and exceptional costs in coping with this terrible attack, these will be met by the Government. The process of making those payments is on-going and I understand the frustration felt at the pace of delivery. So I have taken steps to speed up our response.”

“The taskforce will co-ordinate the cross-Government response - pulling together the work of the Home Office, the Department for Communities and Local Government, the Department of Health and the Ministry of Justice.”

Mrs May said police, mental health workers and social workers ‘gently held together families struggling to come to terms with unfathomable loss’ after the bombing in May, which claimed 22 lives and injured 512 others.

“Support for all those whose lives were forever changed by that brutal blast is unfailing, but Manchester does not endure alone,” the PM told the M.E.N.

(Image: BBC)

Mrs May faced a barrage of political and public pressure after writing to Mr Burnham on Friday to say the Government would commit to only ‘reasonable costs’ said to be around £12m.

He said current costs incurred amounted to £17.6m and revealed additional projected costs of £10.4m - bringing the expected total to more than £28m.

Greater Manchester Police’s bill was lodged for £9.8m, but the latter said ‘only reasonable’ costs would be repaid.

The council has asked for £1.4m to cover its costs, but Mr Burnham said £371,000 had been pledged, although Mrs May said different departments were continuing to assess the claim.

A figure of £2.2m for mental health costs has been confirmed against a requested figure of £2.6m. There’s been no confirmation however on repayments to the region’s NHS of almost £4m.

(Image: Joel Goodman)

Mrs May said not all funding would be needed immediately, citing an estimated £5m for inquest hearings which have been adjourned until next June.

The Kerslake enquiry set up to examine Manchester’s response and readiness is also likely to cost in excess of £320,000.

On Friday, Number 10 staff were at pains to argue that their £12m payment did not represent a final settlement. They said there was more cash still to come, but the requests for some expenditure submitted by the Mayor’s office were still being analysed.

However, there was savage attacks on the government’s ‘fragmented’ response. Manchester council leader Sir Richard Leese, called the announcement ‘incomplete and inconclusive’.

It is now understood that Cabinet-level talks have been held across the weekend over the issue in the wake of the criticism, resulting in the PM’s definitive statement.

(Image: Joel Goodman)

Here is Prime Minister Theresa May’s statement released to the M.E.N:

“The terror attack in Manchester was one of the darkest moments in the city’s history. Twenty two people were killed in a brutal act of hatred deliberately aimed at innocent children on what should have been one of the best nights of their young lives.

“In the hours, days and weeks that followed the Arena bombing, the spirit of Manchester shone out in defiance of an attack designed to destroy lives and devastate a community.

“From the police officers who rushed to the scene, to the ambulance crews and medical staff who battled to save lives in the dust and the carnage of this cowardly act – Manchester’s response was both powerful and fearless.

“In the months that followed, police family liaison officers, mental health professionals and social workers gently held together families struggling to come to terms with unfathomable loss. Support for all those whose lives were forever changed by that brutal blast is unfailing but Manchester does not endure alone.

“I promised in the wake of that appalling atrocity this Government would do all it could to help victims recover and the city to heal. I repeat that commitment today.

“Where your public services have had to bear, or will bear, unexpected and exceptional costs in coping with this terrible attack, these will be met by the Government. The process of making those payments is on-going and I understand the frustration felt at the pace of delivery. So I have taken steps to speed up our response.

“Over the weekend a taskforce has been established within the Cabinet Office to oversee progress and expedite payments when necessary.

“It will co-ordinate the cross Government response - pulling together the work of the Home Office, the Department for Communities and Local Government, the Department of Health and the Ministry of Justice. Not all the funding will be needed immediately. For example the inquests, opened and adjourned this month, will not begin until next June.

“Be in no doubt, however, Manchester will get the financial support it needs – and if that costs £28m, as Andy Burnham has estimated, then that is what we will make available.

“A little over six months on from that terrible night in May, Manchester Arena has re-opened its doors and the resilient city is beginning to heal.

“Those whose lives were changed forever by that night face a far longer journey to recovery but they do not travel alone.

“They will be shielded and supported every step of the way by the love of family and friends and the expertise and care of Manchester’s dedicated professionals.

“Those professionals will stand with the victims and their families for as long as it takes and, for as long as it takes, this Government will stand with them.”