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MPs treble salary with £78m in expenses

A Sunday Times investigation has found that MPs claim an annual average of £119,000 in expenses. The first full disclosure of their claims in October will show that many cost the taxpayer more than £200,000 a year, once their salary of £56,358 and pension contributions of £13,526 are included.

The disclosures will put pressure on parliament to reform the archaic system that gives MPs a range of perks that would be considered excessive in the private sector.

At least 48 MPs employ relatives, ensuring their staff expenses remain within the family. The youngest is a 17-year-old son and the oldest a 77-year-old grandmother.

Three Labour MPs and one Tory, who are happy to disclose their expenses, pre-empted the October publication by handing over their accounts to The Sunday Times.

One backbencher, Eric Joyce, Labour MP for Falkirk West, claimed £152,882 in expenses, including £39,116 for travel. Nigel Griffiths, the minister for enterprise, claimed £129,367; Jane Griffiths, Labour MP for Reading East, claimed £120,431, while Alan Duncan, shadow secretary for constitutional affairs, claimed £116,183.

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The most lucrative area is property: MPs are allowed to use expense allowances worth up to £20,902 a year to buy houses and get a separate allowance for business premises. Although the mortgages are often funded by the taxpayer, the MPs pocket the capital gains.

Travel can also be a big earner. MPs can travel first class, are not have no obliged to pick the cheapest route and can submit motoring claims of £200 a month on trust. Their non-constituency motoring allowances, set at 57.7p per mile for the first 20,000 miles, exceed the standard Inland Revenue ceiling of 40p per mile.

MPs are also allowed to employ family members as researchers and secretaries, with total salaries worth up to £77,534, without advertising the post.

Peter Hain, the leader of the Commons who is overseeing the publication of expenses, said he paid his mother £5,000 a year to work as his secretary.

Michael Pinto-Duschinsky, an expert on parliamentary expenses based at Brunel University, said he would submit reform proposals to Sir Philip Mawer, parliamentary commissioner for standards.

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He said: “Costs have gone up while the range of duties has been reduced.”