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MPs' expenses inquiry considered MPs' expenses inquiry considered
(about 1 hour later)
A wide-ranging inquiry into MPs' expenses is being considered by the independent Committee on Standards in Public Life, the BBC has learned.A wide-ranging inquiry into MPs' expenses is being considered by the independent Committee on Standards in Public Life, the BBC has learned.
It is understood the inquiry into the whole system of expenses and allowances is likely to begin in the autumn.It is understood the inquiry into the whole system of expenses and allowances is likely to begin in the autumn.
The investigation could also consider MPs' pay and their office expenditure.The investigation could also consider MPs' pay and their office expenditure.
It comes as employment minister Tony McNulty says he did not break any rules by claiming an allowance for a home in London where his parents live.It comes as employment minister Tony McNulty says he did not break any rules by claiming an allowance for a home in London where his parents live.
Mr McNulty himself said the rules should be looked into after claiming a second-home allowance for the property in his Harrow East constituency, in north-west London. Last month the committee - an independent body set up in the 1990s to look into parliamentary sleaze - decided against an inquiry after a meeting with Commons leader Harriet Harman.
His main home is eight miles away in Hammersmith, west London. Overnight stays
Parliamentary duties Its former chairman, Sir Alistair Graham, told the BBC Mr McNulty had "questions to answer".
Mr McNulty received allowances worth thousands of pounds for the constituency home which he said he made "considerable" use of and that it allowed him to do his job more effectively. "He talks about using it as a base to do constituency work, but he didn't say that he stayed overnight there," he told the BBC Radio 4 Today programme.
He stopped claiming the allowance in January because interest rates had fallen so much that he could afford to pay the mortgage from his MP's salary. "If he was not staying overnight there, and the claim is probably a bit dodgy anyway, there probably should be some money repaid."
Under the current rules, the Additional Costs Allowance of up to £24,000 a year goes to MPs from outside inner London to cover the cost of staying away from their main home when carrying out parliamentary duties. SECOND HOMES ALLOWANCE MPs can claim up to £24,006 this yearCannot be claimed by 25 inner London MPsCovers rent, mortgage interest payments or hotel expensesCan cover repair and utility bills, furnishings, insuranceIncludes £25-a-night subsistence allowance, including food, for nights spent away from home
Only last month the committee decided against an inquiry after a meeting with the leader of the House of Commons, Harriet Harman. Mr McNulty said the rules should be looked into after claiming an estimated £60,000 since 2001 for the property in his Harrow East constituency, in north-west London.
A new system of expenses with tighter rules is due to come into force on 1 April. He lived with his parents in the Harrow house, which he owns, before his 2002 marriage to second wife Christine when he moved to her home in Hammersmith.
Tony McNulty: "I think I've complied entirely" All MPs, apart from the 25 who represent inner London constituencies, can claim up to £24,000 a year in allowances towards the cost of staying away from home while on Parliamentary business.
Sir Alistair Graham, a former chairman of the standards committee, said it was unclear whether Mr McNulty had stayed overnight at his parents' home, as is required to claim the additional costs allowance. Although Mr McNulty's Harrow constituency is only 11 miles from Westminster, he does not count as an inner London MP. His main home is eight miles from Harrow in Hammersmith, west London.
"If he wasn't staying overnight there... he probably should be paying some money back," he said. 'Nothing irregular'
Mr McNulty could claim other allowances to pay for a base to do constituency work, he said. He said he made "considerable" use of the Harrow property and that it allowed him to do his job more effectively but said he had stopped claiming the allowance in January because the fall in interest rates meant he could afford to pay the mortgage from his MP's salary.
But - given that the minister already had a constituency office - Sir Alistair added: "There's some real questions he's going to have to answer."
Mr McNulty's spokesman has said the MP is "completely compliant with all the regulations around the allowances for second homes".Mr McNulty's spokesman has said the MP is "completely compliant with all the regulations around the allowances for second homes".
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"There is absolutely nothing irregular in Tony's situation," he added."There is absolutely nothing irregular in Tony's situation," he added.
Sir Alistair said he warned in his last speech as chairman in 2007 that the "absurd" system of MPs overseeing their own expenses was undermining public confidence. But shadow Commons leader Alan Duncan said it was not clear Mr McNulty had not broken the rules. "This allowance is for a second home, it is not for a constituency premises."
"It has to be people outside of parliament who can look after the broader public interest that really should lay this matter down, rather than [MPs] doing it themselves." He said he personally felt the second home allowance would eventually have to be scrapped and MPs' salaries increased instead.
Controversy "I am not saying that is our policy, I'm not saying that's going to happen immediately, but this is the allowance that causes all the difficulty."
In 2006, Sir Alistair warned then-Prime Minister Tony Blair that he had paid a "heavy price" for ignoring the importance of upholding standards and that Labour was being seen as "sleazy". 'Stricter regime'
A new system of expenses is due to come into force on 1 April. Labour MP Don Touhig, who chairs the committee which advises on MPs' pay and allowances, told the BBC that would introduce a "much stricter regime" and would make MPs examine their behaviour.
"The three questions MPs should ask now before making a claim is: Does the claim match the purpose of the allowance in question? Could the claim in any way damage the reputation of Parliament? And how comfortable do I feel with the knowledge that my claim will be available to the public under Freedom of Information?
Tony McNulty: "I think I've complied entirely"
"These are three fundamental questions and I think every MP who makes a claim must answer those questions."
He said his committee would keep the Green Book of rules "under review" and if MPs had concerns they could make representations to it.
Simon Hughes, Liberal Democrat MP for North Southwark and Bermondsey, in south London, said: "There ought to be a straightforward 'no second home' claim for people who are in London at all, unless they can show that getting home at a reasonable time isn't practical.Simon Hughes, Liberal Democrat MP for North Southwark and Bermondsey, in south London, said: "There ought to be a straightforward 'no second home' claim for people who are in London at all, unless they can show that getting home at a reasonable time isn't practical.
"Then they need to show that what they have is a second home... not their family home, not their mum's home.""Then they need to show that what they have is a second home... not their family home, not their mum's home."
Earlier this year Home Secretary Jacqui Smith had to defend her actions after it emerged she had claimed about £116,000 in expenses for her family home in the West Midlands after declaring her sister's property in London - where she stayed four days a week - as her main residence. class="lp" href="http://news.bbc.co.uk/1/hi/talking_point/default.stm">HAVE YOUR SAY I don't think it's the greed that gets to me but the lack of accountability and punishment Stefan Walker, Middlesbrough class="" href="http://newsforums.bbc.co.uk/nol/thread.jspa?forumID=6247&edition=1&ttl=20090323091317">Send us your comments
Ms Smith said the Commons' authorities had approved her conduct, while the parliamentary standards watchdog said there was no need for an investigation. Home Secretary Jacqui Smith has defended claiming about £116,000 for her family home in the West Midlands after declaring her sister's property in London - where she stayed four days a week - as her main residence.
MPs' allowances became the subject of controversy when it emerged last year that Conservative Derek Conway had paid his sons to act as researchers while both were students. She said the Commons' authorities had approved her conduct, and the parliamentary standards watchdog has asked her to justify her arrangements.
MPs' allowances became the subject of controversy when it emerged last year that Conservative MP Derek Conway had paid his sons to act as researchers while both were students.
The Commons Standards and Privileges Committee found he had overpaid them and ordered him to repay some of the money.The Commons Standards and Privileges Committee found he had overpaid them and ordered him to repay some of the money.