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But it's not on your property if he is paying for it. The roots would be in his. If you want to cut the branches, tell the neighbour that is what you would like and that you are prepared to pay for it. You can't have your cake and eat it too.

I am not a lawyer. I had a large tree on my property, whose trunk leaned right over the fence and over the top of my neighbour's shed. I'm in the ACT. I was told that, if the tree were to topple and damage the neighbour's shed, it would be my responsibility. I would not wait for a tree...