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'Confusion' over MP expenses plan MP attendance pay plan 'shelved'
(about 2 hours later)
Gordon Brown's plans to reform MPs' expenses are in "considerable confusion", says David Cameron. The government has abandoned plans for a vote on scrapping MPs' second homes allowance, sources have told the BBC.
It comes as reports suggest ministers are preparing to abandon controversial plans for a daily allowance. Gordon Brown's plan to replace it with a flat-rate daily allowance failed to win support from the Tories, Lib Dems and many backbench Labour MPs.
The Conservatives, Lib Dems and some Labour MPs oppose the daily rate plan, saying it would be less transparent. MPs will instead vote on other plans for reform, including withdrawing the allowance from MPs in greater London.
Harriet Harman denied the plan was dead and sources suggest "compromise" proposals will be published later, with a Commons vote expected on Thursday. The Tories and Lib Dems argued that an attendance allowance which did not require receipts was less transparent.
There has been much speculation that Mr Brown is preparing to retreat over his plans for a flat-rate daily allowance for MPs, in anticipation of a Commons defeat in the vote. The BBC understands the issue of the overall second homes allowances will be left to an independent inquiry by the committee on standards in public life, which is due to report back by the end of 2009.
A Commons debate and vote is expected on Thursday but is likely to concentrate on other proposals made by Mr Brown last week - such as greater transparency on MPs' earnings outside Parliament and making Commons authorities, not MPs, responsible for employing staff.
There had been much speculation that Mr Brown was preparing to retreat over his plans for a flat-rate daily allowance for MPs, in anticipation of a Commons defeat in the vote.
Some agreementSome agreement
But asked if the plan for a flat-rate allowance was dead, Ms Harman told BBC News: "No, not at all." Asked if the plan for a flat-rate allowance was dead earlier, Ms Harman told BBC News: "No, not at all."
Asked if it would be put to the vote this week, she told the BBC: "We are planning to have a debate and vote on Thursday on a whole range of issues where we know that the public is dissatisfied with the current situation. She told the BBC: "We are planning to have a debate and vote on Thursday on a whole range of issues where we know that the public is dissatisfied with the current situation.
"The details of our proposals will be put forward in a resolution shortly.""The details of our proposals will be put forward in a resolution shortly."
She said there was agreement among the parties about aspects of the prime minister's reform proposals, which also include making the House of Commons, rather than MPs, responsible for employing staff and more details of MPs' earnings outside Parliament.
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But the plan to replace the controversial second homes allowance - worth up to £24,000 a year to MPs representing seats outside inner London - has failed to win support among opposition parties. The plan to replace the controversial second homes allowance - worth up to £24,000 a year to MPs representing seats outside inner London - failed to win support among opposition parties.
It came as a surprise to many when it was announced on the Downing Street website on Tuesday. It came as a surprise to many when it was announced on the Downing Street website last week.
But it was quickly criticised by the Tories and Liberal Democrats, who said a "clocking on" allowance amounted to a "cheque for turning up to work" and was much criticised where it operated in the European Parliament.But it was quickly criticised by the Tories and Liberal Democrats, who said a "clocking on" allowance amounted to a "cheque for turning up to work" and was much criticised where it operated in the European Parliament.
Sir Christopher also said people would have great difficulty in the notion that claims for the reimbursement of expenses should not need to be backed by receipts." Sir Christopher Kelly, who is heading up the independent inquiry into expenses, also said people would have "great difficulty in the notion that claims for the reimbursement of expenses should not need to be backed by receipts".
More restrictiveMore restrictive
The prime minister's spokesman also did not confirm the daily allowance would be voted on, saying: "It remains the government's intention to put forward detailed proposals. We want to do that in as consensual a way as possible." The prime minister's spokesman said the government would put forward "detailed proposals" and wanted to do so "in as consensual a way as possible".
Liberal Democrat leader Nick Clegg has put forward new proposals calling for the second homes allowance to be replaced with expenses for only basic utility bills, council tax and either rent or mortgage interest.Liberal Democrat leader Nick Clegg has put forward new proposals calling for the second homes allowance to be replaced with expenses for only basic utility bills, council tax and either rent or mortgage interest.
He dropped his idea for MPs to be stopped from buying second homes altogether - an idea opposed by Mr Brown and Mr Cameron - saying he hoped to reach a cross party consensus more quickly.He dropped his idea for MPs to be stopped from buying second homes altogether - an idea opposed by Mr Brown and Mr Cameron - saying he hoped to reach a cross party consensus more quickly.
Asked about those proposals, Mr Cameron said he was "delighted" that Mr Clegg seemed to have moved closer to his own position on expenses and said it was important any new system was "more restrictive".Asked about those proposals, Mr Cameron said he was "delighted" that Mr Clegg seemed to have moved closer to his own position on expenses and said it was important any new system was "more restrictive".
But he added: "I don't know what's going to happen on Thursday, I have no idea what the prime minister is going to do. It seems there is considerable confusion in Downing Street."But he added: "I don't know what's going to happen on Thursday, I have no idea what the prime minister is going to do. It seems there is considerable confusion in Downing Street."
There have been reports that the government may seek a compromise deal - such as a daily rate with receipts or new scrutiny to ensure MPs do not "clock on" then leave. Mr Cameron said the whole idea of a daily rate had lost public confidence.
But Mr Cameron said the whole idea of a daily rate had lost public confidence.
The Daily Telegraph also reported on Monday that MPs could be offered a one-off payment of between £2,000 and £5,000 to cover the three-month summer recess, during which time they would be unable to claim an attendance allowance.