Analysis of public services finances across Greater Manchester has found that a £1bn shortfall would emerge over the course of this parliament. Central government grants to the region’s 10 councils will fall by £836m between 2015 and 2020, and Manchester city council is set to lose £163m by 2019/20, according to Burnham.

The region’s NHS trusts face a combined deficit of £115m, the budget of Greater Manchester police will fall by an estimated £34m over the five years, and post-16 education funding has been cut by £2m this year.

Burnham told Osborne: “You have one more budget before the new mayor takes office to fix this hole in our roof and balance the books. Your legacy as chancellor can go in two ways: as the one who truly changed the fortunes of the north; or one who perpetrated the most elaborate con in British political history. I urge you to choose the former and work with me to make it a success.”

The former health secretary said that given the north’s overcrowded roads and poor rail links, it was impossible to conclude that Crossrail 2 – which would run diagonally across London – was the UK’s highest strategic transport priority.

“I call on you to look again at this and urgently allocate the funding for a modern, high-speed rail system linking the cities of northern England,” Burnham said.

“I am prepared to give you the benefit of the doubt and believe that your commitment to the north is real. But people here are not daft – they now want actions, not clever slogans.”

In his budget in March, Osborne committed £60m to develop an improved east-west rail link to reduce journey times from 50 minutes to about 30 minutes between Leeds and Manchester, as well as £75m to develop plans for an 18-mile road tunnel under the Peak District to cut journey times between Manchester and London.