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MPs may not be banned from employing family on expenses
The man in charge of overhauling MPs' expenses has suggested they might not have to stop employing relatives.
More than 200 MPs employ relatives but a six-month inquiry said the practice should be phased out.
But Sir Ian Kennedy, who decides what plans go forward, said he wanted to give people the chance to argue against a ban as he launched a consultation.
But he also said generous "golden goodbyes" should end and suggested MPs take out employment insurance.
In the consultation document on changes to the expenses system, he also suggests MPs with children - those with "caring responsibilities" could get the right to claim higher expenses.
'Golden goodbyes'
There had been concerns that reducing expenses could mean fewer people with children applying to be MPs.
The proposals say any changes must not "unduly deter" any group of people from standing for election.
Sir Ian - the man appointed to head up the external regulator which will introduce and enforce a new expenses system - is consulting on proposals drawn up after Sir Christopher Kelly's inquiry into the much-criticised expenses system.
That inquiry proposed ending MPs' mortgage claims, stopping them employing relatives and reducing generous "golden goodbye" payoffs to retiring MPs or those who lose their seats.
The consultation document confirms that Sir Ian backs proposals to stop MPs buying taxpayer-funded second homes - something that had led to criticism MPs could act as property speculators at public expense.
Instead of being allowed to claim for mortgage interest, they should claim for rent and hotel stays, utility bills and insurance, the document says.
Security measures
Several MPs have raised concerns they may lose money if forced to sell properties earlier than expected to comply with new rules.
But the document points out: "There is also an argument that the tenure of an MP is inherently uncertain, such that MPs should not have locked themselves into long term mortgage arrangements dependent on public funding."
But it also suggests MPs should be allowed to claim for "approved security measures" - something that was not backed by Sir Christopher Kelly's six-month inquiry.
Link BBC
Posted on Thursday 7th January 2010
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