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Clegg wants more expenses repaid Clegg wants more expenses repaid
(9 minutes later)
Lib Dem leader Nick Clegg has said the MPs' expenses audit should be widened to force those who "flipped" homes or avoided capital gains tax to pay up.Lib Dem leader Nick Clegg has said the MPs' expenses audit should be widened to force those who "flipped" homes or avoided capital gains tax to pay up.
Both practices were heavily criticised during the expenses scandal although they were allowed under the rules.Both practices were heavily criticised during the expenses scandal although they were allowed under the rules.
An audit of claims since 2004 has introduced retrospective caps on some, angering MPs who have been asked to pay back money that was previously cleared.An audit of claims since 2004 has introduced retrospective caps on some, angering MPs who have been asked to pay back money that was previously cleared.
Commons leader Harriet Harman said it had to be done on a cross-party basis.Commons leader Harriet Harman said it had to be done on a cross-party basis.
BBC deputy political editor James Landale said the Labour and Conservative leadership were desperate to draw a line under the affair but Mr Clegg was asking for auditor Sir Thomas Legg to go further.BBC deputy political editor James Landale said the Labour and Conservative leadership were desperate to draw a line under the affair but Mr Clegg was asking for auditor Sir Thomas Legg to go further.
'Property speculators''Property speculators'
The Lib Dems have long called for changes to the expenses system to stop MPs profiting from taxpayer-funded homes and have called for them to pay back any profits when they are sold.The Lib Dems have long called for changes to the expenses system to stop MPs profiting from taxpayer-funded homes and have called for them to pay back any profits when they are sold.
Mr Clegg told the BBC: "I think it's wrong that MPs have converted themselves in some instances, from servants of their constituents to spivy property speculators trading up from one home to the next for personal profit." Mr Clegg told the BBC: "I think it's wrong that MPs have converted themselves in some instances, from servants of their constituents to spivvy property speculators trading up from one home to the next for personal profit."
Writing in the Telegraph Mr Clegg, who has been asked to repay £910 of the £3,900 he claimed for gardening between 2006 and 2009, said Sir Thomas had not dealt with MPs who accrued large sums through property deals.Writing in the Telegraph Mr Clegg, who has been asked to repay £910 of the £3,900 he claimed for gardening between 2006 and 2009, said Sir Thomas had not dealt with MPs who accrued large sums through property deals.
Every single MP who flipped, avoided capital gains tax or claimed for non-existent mortgages must be forced to repay the money and held to account Nick CleggLib Dem leader FROM THE TODAY PROGRAMME class="" href="http://news.bbc.co.uk/today/hi/default.stm">More from Today programme
He said to "rebuild faith in politics, there can be no half measures" and said people "expected the worst offences to come under the toughest scrutiny".He said to "rebuild faith in politics, there can be no half measures" and said people "expected the worst offences to come under the toughest scrutiny".
He added: "Every single MP who flipped, avoided capital gains tax or claimed for non-existent mortgages must be forced to repay the money and held to account."He added: "Every single MP who flipped, avoided capital gains tax or claimed for non-existent mortgages must be forced to repay the money and held to account."
Under the rules MPs were allowed to tell Commons officials that one property was their "second home", on which they could claim expenses - but tell the taxman it was their "main home" on which they did not have to pay capital gains tax when they sold it.Under the rules MPs were allowed to tell Commons officials that one property was their "second home", on which they could claim expenses - but tell the taxman it was their "main home" on which they did not have to pay capital gains tax when they sold it.
Angry MPsAngry MPs
Several were accused of "flipping" their second home - by changing the designation of the property they claimed expenses on, sometimes several times, which allowed them to refurbish several homes at public expense. Interim measures have stopped MPs switching the designation this year.Several were accused of "flipping" their second home - by changing the designation of the property they claimed expenses on, sometimes several times, which allowed them to refurbish several homes at public expense. Interim measures have stopped MPs switching the designation this year.
Others are being investigated for claiming for a mortgage after it was paid off - David Chaytor and Elliot Morley have both said they will stand down as MPs, they have repaid the money they say was mistakenly claimed.Others are being investigated for claiming for a mortgage after it was paid off - David Chaytor and Elliot Morley have both said they will stand down as MPs, they have repaid the money they say was mistakenly claimed.
This week about 600 MPs received letters from Sir Thomas Legg, the independent auditor appointed by Downing Street in the wake of the expenses furore, who has been through all the claims made over five years again.This week about 600 MPs received letters from Sir Thomas Legg, the independent auditor appointed by Downing Street in the wake of the expenses furore, who has been through all the claims made over five years again.
READ THE GUIDANCE NOTE Sir Thomas Legg's guidance note[436KB] Most computers will open PDF documents automatically, but you may need to download Adobe Acrobat Reader. Download the reader hereREAD THE GUIDANCE NOTE Sir Thomas Legg's guidance note[436KB] Most computers will open PDF documents automatically, but you may need to download Adobe Acrobat Reader. Download the reader here
However many are furious that they are being asked to repay claims for services like gardening and cleaning, saying they were within the rules when the claims were made, and approved.However many are furious that they are being asked to repay claims for services like gardening and cleaning, saying they were within the rules when the claims were made, and approved.
But Sir Thomas has applied his own annual limits of what he thinks was reasonable to claim - £1,000 a year for gardening and £2,000 a year for cleaning - and has asked those who claimed more to repay the difference.But Sir Thomas has applied his own annual limits of what he thinks was reasonable to claim - £1,000 a year for gardening and £2,000 a year for cleaning - and has asked those who claimed more to repay the difference.
There is also concern he has asked for paperwork to back up mortgage interest and rental agreements and has warned that those who fail to do so will be "recommended to repay the whole of the allowance granted for the mortgage etc".There is also concern he has asked for paperwork to back up mortgage interest and rental agreements and has warned that those who fail to do so will be "recommended to repay the whole of the allowance granted for the mortgage etc".
Leaders' 'competition'Leaders' 'competition'
Some MPs have blamed the Fees Office for losing paperwork which in some cases might date back to 2004 and may be difficult to find. Others have said there are errors in Sir Thomas's report and they are being asked to back up claims they never made.Some MPs have blamed the Fees Office for losing paperwork which in some cases might date back to 2004 and may be difficult to find. Others have said there are errors in Sir Thomas's report and they are being asked to back up claims they never made.
Gordon Brown and David Cameron have urged their reluctant MPs to obey Sir Thomas and pay up, but some are believed to be preparing to refuse to pay.Gordon Brown and David Cameron have urged their reluctant MPs to obey Sir Thomas and pay up, but some are believed to be preparing to refuse to pay.
Commons leader Harriet Harman told BBC Radio 4's Today programme the issue would not be "sorted out by a competition between the political leaders".Commons leader Harriet Harman told BBC Radio 4's Today programme the issue would not be "sorted out by a competition between the political leaders".
They would be absolutely mad not to accede to Sir Thomas's recommendations Stephen Pound MPThey would be absolutely mad not to accede to Sir Thomas's recommendations Stephen Pound MP
"This is an issue for the whole House of Commons to do what is necessary to restore public confidence," she said."This is an issue for the whole House of Commons to do what is necessary to restore public confidence," she said.
She said the "payback" being requested was "another step on the important path to ensuring the public know once and for all that we've sorted this system out."She said the "payback" being requested was "another step on the important path to ensuring the public know once and for all that we've sorted this system out."
But shadow Commons leader Sir George Young, the former chairman of the Commons standards and privileges committee, believes any revolt will fizzle out.But shadow Commons leader Sir George Young, the former chairman of the Commons standards and privileges committee, believes any revolt will fizzle out.
He said: "By the time we reach the end of the process my view is there will be very few MPs who will hold out and defy what their party leaders want them to do and what the public want them to do."He said: "By the time we reach the end of the process my view is there will be very few MPs who will hold out and defy what their party leaders want them to do and what the public want them to do."
And Labour MP Stephen Pound said he was not aware of anybody who was refusing to co-operate with a repayment request: "There's some ugly stirrings in the undergrowth, people aren't exactly delighted, but no-one is saying they are refusing to do it," he said.And Labour MP Stephen Pound said he was not aware of anybody who was refusing to co-operate with a repayment request: "There's some ugly stirrings in the undergrowth, people aren't exactly delighted, but no-one is saying they are refusing to do it," he said.
"Frankly, they would be absolutely mad not to accede to Sir Thomas's recommendations.""Frankly, they would be absolutely mad not to accede to Sir Thomas's recommendations."