The Government will hold back public transport funding for Manchester unless there is a majority 'yes' vote for road pricing in next month's referendum, it has stressed.
In an interview with The Times, Transport Secretary Geoff Hoon said: "If the vote is no, there will be no central government funding. The rules are very clear."
When Mr Hoon's predecessor, Ruth Kelly, announced the cash in June, she set out that it was being offered as part of a package that included a congestion-charging scheme.
She also said that the 10 Greater Manchester authorities must "conduct a full public consultation". In August they agreed to a postal referendum, with votes being counted from 12 December.
Under the proposed scheme, motorists could be charged up to £5 a day to enter Manchester city centre.
Hoon said that funding for new tram lines, extra buses and trains relied on a yes vote in the referendum. He added: "there will be plenty of other cities looking to take up the opportunity if Manchester doesn't."
Nigel Humphries, spokesperson for the Association of British Drivers, said : "The Government is holding a gun to Manchester's head.
"They know congestion charging is unpopular, but they are trying to introduce it by the back door by picking on a city which has been trying for years to get the money to expand its tram system."
