Liberal Democrat peer Lord Alliance has donated £15 million to the Manchester Business School, one of the largest donations ever to a UK institution of its type.

The school will be named the Alliance Manchester Business School from September 2015 after the Iranian-born textile tycoon, who came to the UK aged 17 with only £14.

In 2012 Tel Aviv University in Israel named its Centre for Iranian Studies after Lord Alliance.

The donation to the business school, part of Manchester University, will fund the school's new building, its largest development since opening in 1965.