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Brown drops daily allowance but sticks with expenses vote

Joe Murphy
27 Apr 2009


Gordon Brown today dropped his proposal to give MPs a tax-free daily allowance while pushing ahead with a vote on other reforms of Commons expenses.

The Evening Standard has learned he will ask Sir Christopher Kelly, head of the anti-sleaze watchdog, to come up with urgent proposals on how to improve the most-abused handout to MPs — the second home allowance.

While giving up on his original idea of a tax-free payment of about £140 a day to replace the £24,000 second home allowance, which met a wall of opposition, Mr Brown will ask Sir Christopher to ensure the new system is linked to attendance at Westminster.

This will mean members who fail to turn up are penalised.

And attempting to salvage as much as possible from his original proposals, Mr Brown will force a vote in the House this week on other ideas that were agreed by David Cameron and Nick Clegg. A government motion to be debated on Thursday is being rushed out tonight and it is expected to push ahead with a series of reforms including:

* Outer London MPs and others “a reasonable distance” from Westminster will lose their right to claim for a second home.

* MPs' staff will be employed by the House of Commons, not directly by individual members.

* MPs with jobs outside Parliament will have to publish full details of how much they are paid. Receipts for expenses for office costs, travel and communications will have to be provided, including bills under £25.

The Prime Minister was carrying out final negotiations on the motion remotely from Afghanistan, where he met troops today.

His officials were passing details to the Opposition, saying they hoped to get a consensus backing the proposals and Sir Christopher's involvement.

Mr Cameron pre-empted the talks by deriding Mr Brown's retreat. “I have no idea what the Prime Minister's position is today,” he said. “It seems to me that there is complete confusion in Downing Street.”

Earlier, Liberal Democrat leader Mr Clegg dropped his demand for MPs to be banned from buying second homes. He urged a cross-party deal “as soon as possible”.

The three men met last week after Mr Brown used a YouTube video to launch his surprise package of reforms. But they failed to agree on the the fate of the second homes allowance, and the meeting ended in bickering.

Mr Brown's insistence that a reformed allowance must be linked to attendance was seen by MPs as an attempt to save face by retaining one element of his idea for a daily allowance.

* A British European MEP appeared in court today accused of cheating the taxpayer out of thousands of pounds in an allowances fraud. Tom Wise, 60, faced charges of false accounting and money laundering at City of Westminster magistrates' court. The former Ukip MEP, now an independent for the East of England, appeared alongside his former researcher Lindsay Jenkins, 62.

Reader views (4)

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how to improve the allowance? cancel it, of course.

- Marianne (Uk National And Tax-Payer), SW France, 27/04/2009 17:24
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It could be worthwhile slipping a few quid to Labour MPs to keep away from the Commons. At least, then they won't be able to inflict any more damage on the country.

- Tom Williams, Oxford, 27/04/2009 16:18
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No relations of MP's should be in receipt of public funds and unless that's part of the deal it's a non-starter.

- Tony Clayton, Suffolk UK, 27/04/2009 16:17
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The solution is to reimburse hotel expenses for MPs who have to stop over in London for a couple of nights per week. This would save billions as there are so few in the chamber on most days. Upon leaving office all "second homes" (which have been purchased and furnished by tax payers) must be sold and the proceeds returned to the treasury. No patio heaters, barbeques, antique fireplaces, sinks, bath plugs or pornographic films claimed on expenses. Those found guilty of misuse of public money in the forthcoming enquiry must be named and shamed, and made repay the money to the public purse.
JUSTICE MUST NOT JUST BE DONE - IT MUST BE SEEN TO BE DONE.

- R.F., Yorks, UK, 27/04/2009 16:01
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