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  • Clegg says he'll punish Lib Dem MPs abusing expenses system

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Clegg says he'll punish Lib Dem MPs abusing expenses system

More than a million expenses claims by MPs over the past four years are to be re-checked in a bid to restore public trust in politics. Prime Minister Gordon Brown backed the "extreme but necessary" measure as senior Labour figures started following in the footsteps of Tory frontbenchers by handing over money that they were seen to have "milked" out of the system. Communities Secretary Hazel Blears said she was responding to public "outrage and the anger" by paying £13,332 in capital gains tax (CGT). However, she stressed she had not broken any rules by declaring a London flat as her second home to receive Commons allowances, before designating it as her main residence for tax purposes when it was sold. Earlier, David Cameron offered another fulsome apology as a large proportion of his top team pledged to reimburse the taxpayer. The Tory leader himself repaid a £680 bill for maintenance such as removing wisteria, while shadow schools secretary Michael Gove will return £7,000 spent on furniture. Others retracting what Mr Cameron described as "excessive" claims included shadow leader of the House Alan Duncan, who handed back more than £4,000 for gardening, and Conservative policy chief Oliver Letwin - who spent £2,000 getting pipes repaired under his tennis court. In a round of broadcast interviews last night, the Prime Minister denied he was merely falling into line behind what Mr Cameron was doing. He said he had been in discussions with the chairman of the cross-party Commons Committee on Members' Allowances - which unveiled plans for the independent review this evening along with more interim restrictions on what MPs can claim - for "days". "This is a radical step but it's a necessary step," he said. "What we have got to do is restore public trust, to restore people's faith that politicians are worthy of their trust. "It is extreme action but it is necessary because politicians must show themselves worthy of public trust." Downing Street sources said a large number of external auditors would be recruited for the independent review to ensure it was completed "quickly". The latest set of revelations focuses on the Liberal Democrats. One backbencher, Andrew George, reportedly claimed £847 a month in mortgage interest payments for a second home used by his student daughter. The St Ives MP insisted the London flat was "used as the base for my parliamentary work", although the home insurance policy was listed in the name of his 21-year-old daughter, Morvah George. Lib Dem leader Nick Clegg was forced to apologise and repay £80-worth of international phone calls made from his Sheffield constituency home. His predecessor as leader, Sir Menzies Campbell, also apparently claimed nearly £10,000 in expenses for a top designer to redecorate his London flat. Mr Clegg also signalled a tough move to stop his MPs profiting from selling taxpayer-funded properties. Under new rules, Lib Dems will only be allowed to keep capital gains based on the amount of their own money that has gone on improvements and servicing mortgages.

ITN | May 13, 2009Watch more videos from ITN

Tags:. .blears. .frontbenchers. .repaid. .gove. .wisteria