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MPs 'facing major expenses cuts' | MPs 'facing major expenses cuts' |
(19 minutes later) | |
MPs face wide-ranging cuts to their second homes and other expenses, under proposals from an independent inquiry. | MPs face wide-ranging cuts to their second homes and other expenses, under proposals from an independent inquiry. |
The BBC has learned it will propose an end to mortgage claims, MPs employing relatives and so-called "golden goodbyes" to retiring MPs. | The BBC has learned it will propose an end to mortgage claims, MPs employing relatives and so-called "golden goodbyes" to retiring MPs. |
First class travel and London travel costs would be reduced and a £25-a-day "subsistence" allowance would end. | First class travel and London travel costs would be reduced and a £25-a-day "subsistence" allowance would end. |
Sir Christopher Kelly's committee will publish its findings next week but some MPs and staff may challenge them. | Sir Christopher Kelly's committee will publish its findings next week but some MPs and staff may challenge them. |
His committee on standards in public life carried out a series of public hearings and has been studying hundreds of submissions from MPs and the public, in the wake of the expenses scandal. | His committee on standards in public life carried out a series of public hearings and has been studying hundreds of submissions from MPs and the public, in the wake of the expenses scandal. |
Changes phased in | Changes phased in |
On Tuesday the BBC learned there would be major changes to the most controversial allowance - the £24,006 a year second homes allowance. | On Tuesday the BBC learned there would be major changes to the most controversial allowance - the £24,006 a year second homes allowance. |
Sources said the committee would recommend MPs only be allowed to claim towards rent, rather than towards mortgage interest as at present - an arrangement currently used by about 415 MPs. | Sources said the committee would recommend MPs only be allowed to claim towards rent, rather than towards mortgage interest as at present - an arrangement currently used by about 415 MPs. |
And more than 200 MPs who currently employ relatives would be stopped from doing so under the proposals. | And more than 200 MPs who currently employ relatives would be stopped from doing so under the proposals. |
It is is understood that the report will propose some changes should be phased in over five years. | It is is understood that the report will propose some changes should be phased in over five years. |
It has now emerged that several other allowances will be reduced - including the resettlement grant to MPs who stand down or lose their seats at a general election. | It has now emerged that several other allowances will be reduced - including the resettlement grant to MPs who stand down or lose their seats at a general election. |
Criticised by some as a "golden goodbye", it is intended to help outgoing MPs adjust to the costs of non-Parliamentary life and can range from between £32,383 and £64,766, depending on age and time served. The first £30,000 is tax free. | Criticised by some as a "golden goodbye", it is intended to help outgoing MPs adjust to the costs of non-Parliamentary life and can range from between £32,383 and £64,766, depending on age and time served. The first £30,000 is tax free. |
The BBC understands Sir Christopher's report will recommend this be replaced with a small fixed sum, possibly a couple of months' salary. | The BBC understands Sir Christopher's report will recommend this be replaced with a small fixed sum, possibly a couple of months' salary. |
The £10,400 a year communications allowance - which was the only allowance voted through by MPs without a recommendation from the senior salaries review board - is expected to be axed entirely. | The £10,400 a year communications allowance - which was the only allowance voted through by MPs without a recommendation from the senior salaries review board - is expected to be axed entirely. |
No vote? | No vote? |
And it will recommend an end to the £25-a-day "subsistence allowance" - which allows MPs to claim for food and other items without a receipt - as well as cutbacks to claims for first class rail travel and travel within London. | And it will recommend an end to the £25-a-day "subsistence allowance" - which allows MPs to claim for food and other items without a receipt - as well as cutbacks to claims for first class rail travel and travel within London. |
It will also propose that MPs living within an hour's journey of London should not be able to claim for a second home, and also call for a reduction in the allowance for London MPs. | It will also propose that MPs living within an hour's journey of London should not be able to claim for a second home, and also call for a reduction in the allowance for London MPs. |
AREAS WITHIN 60 MINUTES' TRAVEL TIME OF WESTMINSTER | |
Current rules on claiming a second home allowance exclude all constituencies within 20 miles of Westminster. This is a new rule - three months ago the only MPs who could not claim it represented Inner London. | |
New rules due to be published on 4 November are expected to extend the limit to MPs living within 60 minutes' train journey of Westminster. Exactly how journey times will be judged is still not clear. This map is based on leaving home at 0800 to arrive at Parliament by public transport by 0900 on one day in October 2008. See MPs' expenses in full, 2007-2008 | |
Prime Minister Gordon Brown told MPs he hoped a new system would be brought in "as quickly as possible". He said the findings of the review would be announced in a Commons statement on 4 November and then would be given to the new independent parliamentary standards committee to implement. | Prime Minister Gordon Brown told MPs he hoped a new system would be brought in "as quickly as possible". He said the findings of the review would be announced in a Commons statement on 4 November and then would be given to the new independent parliamentary standards committee to implement. |
Such a process suggests the recommendations are unlikely to be put to a direct vote of MPs. But Mr Brown added it was "a matter for the House". | Such a process suggests the recommendations are unlikely to be put to a direct vote of MPs. But Mr Brown added it was "a matter for the House". |
KEY PROPOSALS MPs to rent second homes onlyBan on MPs employing family members on Commons payrollBan on MPs close to London claiming second home allowanceAllowances for inner London MPs to be reducedChanges phased in over five years What MPs can claim now MPs' spouses to fight job ban Send us your comments | KEY PROPOSALS MPs to rent second homes onlyBan on MPs employing family members on Commons payrollBan on MPs close to London claiming second home allowanceAllowances for inner London MPs to be reducedChanges phased in over five years What MPs can claim now MPs' spouses to fight job ban Send us your comments |
All the main parties have committed to accepting the proposals in full, as long as they met three tests of improving transparency, accountability and reduced costs. | All the main parties have committed to accepting the proposals in full, as long as they met three tests of improving transparency, accountability and reduced costs. |
But Labour MP Sir Stuart Bell, a member of the Commons Members Estimate Committee which carried out its own review of MPs' expenses last year, said: "I don't think the House would accept any enforced redundancies of present staff." | But Labour MP Sir Stuart Bell, a member of the Commons Members Estimate Committee which carried out its own review of MPs' expenses last year, said: "I don't think the House would accept any enforced redundancies of present staff." |
He also told the BBC he accepted that future claims for mortgage interests should not be allowed but said current mortgage arrangements "cannot be disturbed". | He also told the BBC he accepted that future claims for mortgage interests should not be allowed but said current mortgage arrangements "cannot be disturbed". |
He said MPs would debate the proposals and "have the opportunity if they so wish to amend them". | He said MPs would debate the proposals and "have the opportunity if they so wish to amend them". |
'Not realistic' | 'Not realistic' |
Conservative MP Roger Gale said his wife Suzy has worked for him for 27 years and does "a very good, very hard, very long job", 60 hours a week, and was highly qualified. He said the reported proposals were "not realistic". | Conservative MP Roger Gale said his wife Suzy has worked for him for 27 years and does "a very good, very hard, very long job", 60 hours a week, and was highly qualified. He said the reported proposals were "not realistic". |
"I've heard one comment, which I think is absolutely ludicrous, to the effect that apparently somebody living an hour's train ride from London will not be allowed to have a base in London," he said. | "I've heard one comment, which I think is absolutely ludicrous, to the effect that apparently somebody living an hour's train ride from London will not be allowed to have a base in London," he said. |
Whether it is unfair dismissal or discrimination law we will offer our members whatever protection we can Dan WhittleUnite union Areas explored by Kelly committee | Whether it is unfair dismissal or discrimination law we will offer our members whatever protection we can Dan WhittleUnite union Areas explored by Kelly committee |
However Labour MP John Mann said Parliament had to accept the recommendations "lock, stock and barrel" if it was to regain its "moral authority". | However Labour MP John Mann said Parliament had to accept the recommendations "lock, stock and barrel" if it was to regain its "moral authority". |
And Tory chairman Eric Pickles told the BBC unpicking the proposals would be the "road to ruin": "It's no use saying 'what about the communications allowance, what about relatives?' - it's a package, we accept it, we move on." | And Tory chairman Eric Pickles told the BBC unpicking the proposals would be the "road to ruin": "It's no use saying 'what about the communications allowance, what about relatives?' - it's a package, we accept it, we move on." |
Lib Dem leader Nick Clegg said he looked forward to seeing the report in full and hoped it would recommend a "radical, total overhaul of this rotten system of expenses". His party has long supported an end to mortgage interest claims. | Lib Dem leader Nick Clegg said he looked forward to seeing the report in full and hoped it would recommend a "radical, total overhaul of this rotten system of expenses". His party has long supported an end to mortgage interest claims. |
The Unite union's Parliamentary staff branch has invited spouses and other relatives to a special meeting on the day the report is published. | The Unite union's Parliamentary staff branch has invited spouses and other relatives to a special meeting on the day the report is published. |
Chairman Dan Whittle said: "Whether it is unfair dismissal or discrimination law we will offer our members whatever protection we can. Family members of MPs staff save the taxpayer money by working many hours in unpaid overtime." | Chairman Dan Whittle said: "Whether it is unfair dismissal or discrimination law we will offer our members whatever protection we can. Family members of MPs staff save the taxpayer money by working many hours in unpaid overtime." |
Sir Christopher has not commented on the reports, but it is understood he briefed the Conservative and Liberal Democrat leaders along with Cabinet Secretary Sir Gus O'Donnell on Tuesday afternoon. | Sir Christopher has not commented on the reports, but it is understood he briefed the Conservative and Liberal Democrat leaders along with Cabinet Secretary Sir Gus O'Donnell on Tuesday afternoon. |
An independent panel which looked at Welsh Assembly Members' expenses recommended in July that AMs should not be allowed to claim towards mortgage interest and relatives should not be employed - although any existing arrangements would continue. | An independent panel which looked at Welsh Assembly Members' expenses recommended in July that AMs should not be allowed to claim towards mortgage interest and relatives should not be employed - although any existing arrangements would continue. |