Commons to back law criminalising those who fiddle the system

Published on Saturday 20 June 2009 20:00

MPs ARE expected to back new laws to make expense fiddling an automatic criminal offence this week.

Justice Secretary Jack Straw is in talks with the leaders of other parties to bring forward fresh legislation that would see the introduction of criminal sanctions in the case of serious offences. The moves would tighten up the law after it emerged on Friday that Scotland Yard has begun investigations into the expense claims of a number of MPs and peers.

Those at the centre of the investigations include former Agriculture Minister Eliot Morley and Labour MP David Chaytor who claimed for "phantom" mortgages that had already been paid off. The Labour peer Baroness Uddin, who allegedly claimed 100,000 by registering a property as her main home when it was barely occupied is also under investigation.

The inquiries have been prompted by more than 100 complaints from members of the public about apparent expenses abuse. It is thought that prosecutions will only be possible in cases where MPs or Peers set out to deceive the Commons Fees Office.

That escape clause may be closed by Straw this week however, if new tighter legislation is introduced. Parliamentary sources say that the legislation could be rushed through before the July recess, as all the parties attempt to show they are serious about cleaning Westminster up.

It is understood that Westminster is closely following the example of the Scottish Parliament where tighter legislation and sanctions already exist. The new moves will not stop police continuing with their current investigations, which will be considered under existing Fraud laws.

Another peers being looked at by police is Lord Clarke of Hampstead who apologised after claiming up to 18,000 a year in "subsistence" when he often stayed with friends.