Fran Yeoman
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MPs face an expenses clampdown in the wake of recent controversies over their spending.
From the start of next month, they must submit a receipt for any expenditure over £25, a tenth of the current limit of £250.
The Commons Members Estimate Committee announced this morning that the amount of petty cash MPs can draw for office expenses would also be reduced from £250 to £50 per month.
In a report published today as part of its review of MPs’ allowances the committee, chaired by Speaker Michael Martin, said: “The Members Estimate Committee has instructed the Department of Resources that, with effect from April 1 2008, no claim against allowances of £25 or more per item will be reimbursed unless it is accompanied by a receipt.”
The committee said it had considered forcing MPs to submit receipts for all expenses, but decided that would be impractical.
It added that some MPs already routinely produce receipts for spending below the £250 limit, indicating that a lower threshold, which will be introduced on April 1, would be "administratively feasible”.
But the report noted that "some modest increase" in House of Commons staff may be needed to cope with the changed rules.
The committee is currently undertaking a "root and branch" review of MPs' allowances, launched after Derek Conway, the Conservative MP, was exposed paying his son for "all but invisible" work as a researcher while he was an undergraduate in Newcastle.
Last month, Mr Martin came under fire over taxi fares claimed by his wife and was urged to speed up his committee's review into the expenses system.
Today, the committee said it would publish proposals for more rigorous checks on expenses by the end of March.
The report said: “The new low threshold for claims needs to be underpinned by a more robust regime for audit. The committee is determined to establish audit controls which command public confidence."
“Members have told us that they expect there to be a more rigorous system for checking the money has been spent on the purpose intended."
The committee said that some MPs have suggested a system of random spot checks on a sample of claims.
“Meetings will be held with the National Audit Office, private firms of accountants, HM Revenue & Customs and the Audit Commission to establish what is the most practical and effective arrangement.
“In the issues paper we have undertaken to publish by the end of March, we will set out some possibilities to achieve a more rigorous audit regime.”
The committee added: “Our emerging conclusions will be produced in May before a final report in time for a decision by the House in July.”
Gordon Brown’s spokesman said: “The Prime Minister welcomes any steps towards greater transparency in MPs’ expenses.”
Challenged on why Mr Brown did not publish his own expenses in full, the spokesman replied: “That’s not his decision. It’s a matter for the House authorities.
“We can’t just start making one-off initiatives of this kind. There’s an overall decision that needs to be taken by the House authorities.
“They are responsible for decisions in relation to publishing MPs’ expenses and they have made a welcome step forward this morning.”
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"Getting away with it for far too long..." That is the comment that disturbs me - so why didn't anybody in Parliament think of tightening it up ? Says more about the integrity of our rulers, than anybody else !!!
Ian Payne, WALSALL,
So they now they will lots more claims for £24.99 no doubt.
Why can these people not just provide a receipt, we all do!
Arrogant to the extreme.
Mohammed Hasan, Birmingham,
Er... I have to produce a receipt for ANY work related expense I claim, and this seems fair and reasonable - why should MPs, who have shown they can't be trusted to act honestly and honourably with our money, be given any leway at all>
What is the difference between me and an MP? Oh, yes, I pay for them out of my taxes, and they provide very little in return.
Peter, London,
One part of the report says:
"Members working both in the constituency and at the House and travelling between the two do incur small costs which are normally paid in cash and for which receipts are not given."
Surely in this day and age an expense for which a business can't give a receipt is not one an MP should be incurring with tax payers money!
What are these 'small costs'? Even the smallest of reputable businesses gives a reciept, no matter how small the amount.
Simon, London, UK
I have to produce a reciept for everything, with a justification as to why it was strictly necessary. If I don't have a reciept, or if i lose it - then tough. Quite right too!
Tim, London,
MPs should be issued with official Switch and Credit cards - if they need anything for their ministerial work they must use these. Their spending will then be easily tracked and all itemised on their monthly statements which would available for inspection - there would be no-where to hide anything and would include every amount. Easy..and like everyone else in the country
Adrian, Edinburgh,
MPs' unsubstantiated expense claims are being restricted to £25 for one reason only - the public is not satisfied that they can be trusted to operate them honestly at the level of £250.
That said, there is absolutely no reason why this still generous claim limit should be the exclusive perk of MPs. I call upon Alsitair Darling tomorrow to show that there is no truth in the claim that there is one rule for them and another for us.
Let everyone enjoy a threshold of £25 per claim before it must be substantiated with documentary evidence.
Ubi, Edinburgh, uk
How long before we see the £24.99 banknote?
Terry Hawker, L'Absie, France
Justification of ALL expenses is the norm outside of Westminster, but it will doubtless be resisted by our elected representatives, since they believe themselves to be entitled to have their snouts in the trough funded by our taxes.
This ties in with a theory I have about why politicians seem so taken with the EC, to the consternation of the majority (?) of voters. Their belief in their "entitlement" is such that the EC must be preserved in its present corrupt form, maybe even expanded, so they can continue to raid the public purse even after they are tossed out of office. Witness Mandelson, Kinnock et al, along with all the other political failures in the Commission. The very thought of Tony Blair, or any of those other unelected no-hopers, becoming the "European President" makes me apoplectic with rage.
Henry, Salisbury, Wilts
In the era when there was trust and loyalty within companyâs our allowance for overseas travel were based on either a fixed agreed daily rate for that country or, on a new venture, double the recited hotel bill. Things change in the early 1970âs when the bean-counters moved into the front office, trust disappeared and recites were required for everything, and claims rocketed. Most hotels and restaurants started to offer two recites, some offered blank or undated recites. In Eastern Europe for a pack of cigarettes, reception staff and/or waiters would offer a stack of recites. It became so crazy that it was common places for a group to sit in the lobby filling out recites for each other. Although it was dishonest it was founded on the fact that they were no longer trusted, in most cases it was impossible to get genuine recites and as those demanding them had no perception of working abroad and provided that the little pieces of paper added up to what was claimed they were happy.
Brian Christley, Abergele, UK
What they are most scared of is that we stop voting.
Remember the soundbite they come out with every pre-election - 'It doesn't matter who you vote for, but please use your vote'.
It doesn't matter who's actually in power, they all still live off the taxpayer.
My advice is to not vote and I can promise that if the whole corrupt system crumbles with all the parasites that lurk in it, Britian won't fall into the sea. The world will keep turning.
These politicians have wasted our money - masses of it. And what have we got in return? More and better schools and hospitals, better landscaped towns and cities, safe streets? No, just the promise of ID cards. Aye great.
Absurd, Glasgow, Scotland
As a civil servant working for the MoD, when I claim expenses I have to justify every penny and retain receipts for years afterwards in case of audit... And woe betide if I make an error in claiming a few pence too much, even in error as this results in immediate dismissal! A load of Balls and Coopers if you ask me!
Ian, Fleetwood, UK
So MP's are still exempt from the same tax laws as the rest of us then. What a surprise.
This entire system is a major let-down for all those who have to work away from home for far less income than MPs get and then have to fight the hatchet men of the revenue for every legitimate expense.
If MPs want our respect (and our money) then get on the same tax wagon (not to mention planet) as the rest of us.
KR, Stockport,
This is a welcome first step in scrutinising funds claimed by MPs, now that they have proved that they are not trustworthy under the old rules. Transparency in all financial areas relating to Westminster, and indeed the local Assemblys, is now an absolute necessity. For too long those who govern us have taken a blatant 'Do as I say, not as I do' attitude, and have got away with actions which would result in dismissal and legal action for the working man or woman.
Bryan Bailie, Newtownards, County Down
Surely this is to excellent opportunity for the honourable members to rebuild their reputations with the UK public. I like Fothers have to submit receipts for ALL expenses, not just for expenditure over £25.00. Without proper internal procedures what is stopping the honourable members in submitting numerous expense claims under £25.00 where they do not have to provide a receipt ! I would also insist that checks are carried out by an external body, not an internal Clerk.
The public must be able to trust their MP's, ensuring their claims are justified. All claims whatever the amount must have a receipt. It is the tax payers money they are spending isn't it !!
P Pearce, Manchester, UK
They are as corrupt as the African politicians we so often chastise!
Michael, London,
Yes, great, but where's the army of civil servants coming from to do the checking or is this another goldmine for some American consultancy; and what happens when the records go missing?
What cost to us, the taxpayer?
I can just hear the answer - it will be self financing!!!
AWilliams, Cradley Heath,
The joy of having to submit receipts only when its administratively feasible! It is entirely possible for EVERY expense to be adminsitered - after all MP's still have to "administer" each expense in order to claim for that expense so whether they note all their expenses in a diary or keep receipts (which can be submitted) adds little overhead to MP's. Unless the contention is that MP's simply remember each expense - which would be funny since they frequently forget to report campaign contributions
dave, harrow,
It is also time to check the second home allowance look at Balls & Cooper wrking the system Their Children go to school in London yet claim it is not their main home it beggers the question what address they tell the school I am sure their so called main residance is out of the catchment area of their chosen school !!!
Roger G C Evans, Swansea, Wales
So they will need more expenses to cover the admin of detailing the lower threshold. In the real world managers would be told to just get on with it.....
adrian, london,
In the real world outside Westminster Village we not only have to submit receipts for ALL expenses, but also have to be prepared to justify the expenditure, so travel by taxi may not be acceptable if public transport is available (Speaker Martin, please Note) and lavish meals have to be justified.
Fothers, aylesbury,
. . . . . and about time, too.
MPs of all parties and persuasions have been getting away with it for far too long.
Perhaps someone should re-visit their pensions deal, as well.
Fothers, aylesbury,
Twenty five pounds is a bit silly for accounting purposes in this day and age.
As voter I would settle for a threshold of one hundred pounds.
Weaver, China,
This is long overdue. For too long 'Honourable' members have played fast and loose with taxpayers money.
D.Walker, Burnley, England
Receipts over £25 is a good idea for MPs. How is the scrutiniser (probably a temporary low grade clerk) going to spot the fake ones without extensive training? I've seen some very plausible created ones in my time and reckon I can spot them. Can I have that job?
Joy Hodgson, Rawcliffe, East Yorkshire
Why Do I think they will have already found another way to fleece the public
syd, Leeds, UK