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Review to back peers' 'pay rise' | Review to back peers' 'pay rise' |
(31 minutes later) | |
Peers are to get an effective pay rise as part of expenses reforms being announced later, the BBC has learned. | Peers are to get an effective pay rise as part of expenses reforms being announced later, the BBC has learned. |
But members of the House of Lords will also see tighter rules, and a cut in expenses they can claim for overnight accommodation. | But members of the House of Lords will also see tighter rules, and a cut in expenses they can claim for overnight accommodation. |
The independent Senior Salaries Review Body reviewed peers' expenses after concerns some were abusing the system. | The independent Senior Salaries Review Body reviewed peers' expenses after concerns some were abusing the system. |
Currently they can claim a daily £75 office costs allowance and a £86.50 daily subsistence allowance. | Currently they can claim a daily £75 office costs allowance and a £86.50 daily subsistence allowance. |
The SSRB is expected to recommend that these allowances are merged and that peers get a single daily allowance of £200 for turning up and doing their job - effectively a £38.50 increase, BBC deputy political editor James Landale said. | The SSRB is expected to recommend that these allowances are merged and that peers get a single daily allowance of £200 for turning up and doing their job - effectively a £38.50 increase, BBC deputy political editor James Landale said. |
'Major step' | |
But it is also expected to recommend that peers' existing £174 flat rate allowance for overnight accommodation is cut to £140. | But it is also expected to recommend that peers' existing £174 flat rate allowance for overnight accommodation is cut to £140. |
Under proposals peers, who do not get a regular salary, would be able to claim only for rent and hotel or club bills and would have to provide receipts or rental agreements. | Under proposals peers, who do not get a regular salary, would be able to claim only for rent and hotel or club bills and would have to provide receipts or rental agreements. |
Peers who own their own homes in London will be able to claim only council tax; they will not be able to claim for mortgages. | Peers who own their own homes in London will be able to claim only council tax; they will not be able to claim for mortgages. |
The BBC understands that the SSRB will claim that the overall effect will be cost neutral and that the tax payer will be no worse or better off. | The BBC understands that the SSRB will claim that the overall effect will be cost neutral and that the tax payer will be no worse or better off. |
Prime Minister Gordon Brown ordered the review of Lords' allowances in June and said he accepted the report. | |
Baroness Royall, leader of the House of Lords, said she would work with other parties to implement the changes. | |
She said: "Taken together with a new code of conduct for members of the House which the House will be considering next week, these reforms will be a major step towards righting any wrongs in the House and towards putting our own house in order." |