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Osborne facing expenses inquiry Osborne facing expenses inquiry
(about 1 hour later)
Shadow chancellor George Osborne is facing an inquiry by the Parliamentary Standards Commissioner into aspects of his expenses claims.Shadow chancellor George Osborne is facing an inquiry by the Parliamentary Standards Commissioner into aspects of his expenses claims.
The move came after a complaint by his constituency's Labour Party chairman.The move came after a complaint by his constituency's Labour Party chairman.
The watchdog's probe relates to Mr Osborne's second home designation between 2001 and 2003 and mortgage claims he made after 2003.The watchdog's probe relates to Mr Osborne's second home designation between 2001 and 2003 and mortgage claims he made after 2003.
Mr Osborne, who has so far paid back £1,195.49 in expenses, is said to be "relaxed" about the probe. A spokesman for Mr Osborne said the complaint was "political" and his expenses claims were above-board.
The Commissioner John Lyon launched his investigation in response to a complaint by Laurie Burton, the chair of the local Labour Party in Mr Osborne's Tatton constituency.The Commissioner John Lyon launched his investigation in response to a complaint by Laurie Burton, the chair of the local Labour Party in Mr Osborne's Tatton constituency.
Mr Burton alleges that, between 2001 and 2003, Mr Osborne wrongly identified his main home for the purposes of claiming a second home allowance.Mr Burton alleges that, between 2001 and 2003, Mr Osborne wrongly identified his main home for the purposes of claiming a second home allowance.
He also alleges that, from 2003, Mr Osborne claimed for mortgage payments "that were not necessarily incurred".He also alleges that, from 2003, Mr Osborne claimed for mortgage payments "that were not necessarily incurred".
'Relaxed'
But Mr Lyon said he would not be looking into claims made by the Daily Telegraph that Mr Osborne may have avoided capital gains tax on the sale of his London home in 2006 - allegations Mr Osborne denies.But Mr Lyon said he would not be looking into claims made by the Daily Telegraph that Mr Osborne may have avoided capital gains tax on the sale of his London home in 2006 - allegations Mr Osborne denies.
Mr Osborne is among more than 90 Tory MPs who have agreed to repay money since the expenses scandal erupted. A spokesman for Mr Osborne explained that he had always made it clear that his Cheshire property was his second home since he was first elected in 2001.
He has repaid the £440 cost of a late-night taxi trip between his constituency and London in 2005, £654 for an insurance bill that was wrongly calculated and £99 for an administrative error on a mortgage claim. However, he said the MP had told the Commons authorities in 2001 that he had just increased his interest only mortgage on his London home to cover the cost of purchasing his Cheshire property - and was advised to claim against that until he could change the arrangements without incurring penalty fees.
There has been absolutely no impropriety and any suggestion of such is wrong Spokesman for George Osborne
This Mr Osborne did in 2003, securing a mortgage against the Cheshire property.
Later that year, when the Commons asked MPs to explicitly state what their main and second homes were, Mr Osborne designated the Cheshire property as his second home.
"George Osborne has never switched designation for personal advantage," his spokesman said.
"There has been absolutely no impropriety and any suggestion of such is wrong."
He added that Mr Osborne was "relaxed" about the probe as he had always been "open" about his expenses.
Mr Osborne is among more than 90 Tory MPs who have agreed to repay money since the expenses scandal erupted, returning £1,195.49.
He repaid the £440 cost of a late-night taxi trip between his constituency and London in 2005, £654 for an insurance bill that was wrongly calculated and £99 for an administrative error on a mortgage claim.
The Parliamentary Standards Commissioner is already investigating two Tory MPs - Brian Binley and Anne Main - over aspects of their expenses, as well as ex-Home Secretary Jacqui Smith and ex-Home Office minister Tony McNulty.The Parliamentary Standards Commissioner is already investigating two Tory MPs - Brian Binley and Anne Main - over aspects of their expenses, as well as ex-Home Secretary Jacqui Smith and ex-Home Office minister Tony McNulty.