Iain Duncan Smith had his official credit card suspended after racking up more than £1,000 in expenses debt, it has been revealed.
The Work and Pensions Secretary is one of nineteen MPs subjected to action by the Commons watchdog, over potential invalid spending.
The revelation comes after Iain Duncan Smith had previously backed the introduction of prepaid cards for benefit claimants.
Details released in response to a Freedom of Information (FOI) request by the Press Association, reveal that the watchdog has suspended the credit cards of nineteen MPs since the beginning of 2015.
The Independent Parliamentary Standards Authority (Ipsa) issue credit cards to MPs to use for expenses costs, such as travel and accommodation.
Politicians are required to prove that spending on the cards is legitimate within one month. Failure could result in a build-up of debt, which would be recovered by refusing further expenses payments made through the cards.
According to the FOI response, Iain Duncan Smith’s card was blocked after he owed £1,057.28. He is no longer owes any money.
Would Sir Malcolm Rifkind and Jack Straw have been caught out in a sting apparently offering their services to a private company for cash if the salary earned by MPs’ was much higher?
> Probably. There’s no accounting for greed.
The suggestion is an unpopular one with the electorate, many of whom have endured years of pay freezes, particularly in the public sector in which the politicians are classified as working.
After the next election, an MP’s salary is set to rise 10% from £66,396 to £74,000 – the level set by the Independent Parliamentary Standards Authority (Ipsa) which said they did an important job and should not be paid a “miserly amount”.
When this was revealed last year it caused a bit of a meltdown inside and outside of Parliament with the Conservative, Liberal Democrat and Labour party leaders for once united.
They argued it would be wrong when public sector pay rises were capped at 1%.
Rifkind, who said the allegations made against him were “unfounded”, has subsequently said he can’t live on his £67,000 a year MP’s salary.
However Blaydon MP, Labour’s Dave Anderson, was unsympathetic. He said:
“If you can’t live on the salary get another job. You know what you sign up for.
“If you can’t live off £67,000 a year you must be from another planet.”
Mr Anderson was equally dismissive of MPs who took on second jobs to boost their income.
“If you want another job, take another job and leave. You shouldn’t have a second job as an MP regardless.
“Me and my colleagues work so many hours I don’t know how anybody who fit another job in.”
His fellow MP Nick Brown who represents Newcastle East said:
“I agree with that. Your duty is to your constituency and the country.
“I’ve been an MP for 31 years and have never had a second job.”
As for the salary of MPs he said he did not want to be “sanctimonious” and criticise anybody who thinks it should be higher. “I think an MP’s salary level should be set independently,” he said.
As for how much a fair salary would be, Mr Brown wouldn’t be drawn on a figure just that it should “cover the cost of being an MP.”
> Before exopenses claims, I imagine.
The debate about what an MP’s salary should be has been clouded by a number of scandals over the years to the extent that when a rise is suggested most in Parliament come out in public against it firmly.
But in a secret poll of MPs, the responses were different.
Back in 2013, in a survey conducted by Ipsa, MPs suggested they deserved an £86,250 salary.
On average, Tories said their salary should be £96,740, while Lib Dems thought the right amount was £78,361 and Labour £77,322. Other parties put the figure at £75,091.
However later that year, a poll of the public revealed it thought MPs should actually get a pay cut, the average figure being £54,400. In the North East, people thought they should be paid £52,140.
Arguments for the rise included one that being an MP was an important job and salaries should be more in keeping with this, comparing it to money earned by company executives. If pay was better, we would get better MPs.
> Does anyone really believe that ? What we’d really get is richer MPs.
It would also, the argument went, entice more people from less well-off backgrounds to become interested in becoming an MP.
To counter this some have wondered how a salary that is around three times the national average would put off potential less well off candidates.
According to one commentator: “To a working class kid a salary of £65,000 a year is the equivalent of winning the lottery”.
And anyway, MPs are public servants and should be subject to the same rules as anyone else in the public sector. They do an incredibly important job – but so do lots of other people, such as nurses and the police.
Political expert Dr Martin Farr of Newcastle University said:
“The public has unreasonable expectations of politicians because they just don’t like them.
> And I wonder why that should be ?
“There needs to be a competitive salary as in comparison to parliamentarians elsewhere, MPs here aren’t played a lot nor do they get the same level of support.”
“They are frightened to be awarded a competitive salary which was why they tried to make it up in allowances in the first place.
“However in trying to avoid one problem they have created another.”
He said such was the “febrile” nature of the debate, the public generally can’t even accept the need for MPs to travel first class on trains and reclaim it on expenses.
“Yet they often do work of a confidential nature at this time so these arrangements are needed,” he said.
Dr Farr said that while it appears Straw and Rifkind might have broken no rules, they were foolish to do what they did.
However he added what did need to be sorted out was the so-called ‘Whitehall revolving door’ situation where former Ministers get jobs in the private sector
“It’s a toxic issue and in some ways MPs are in a lose-lose situation,” he said.
> For that sort of money, you’d get a lot of volunteers willing to risk that kind of lose-lose situation…
Source – Newcastle Evening Chronicle, 25 Feb 2015
Hartlepool MP Iain Wright said any pay rise for MPs would be “ridiculous” and he would strongly vote against any proposal to increase their income.
Mr Wright told the Hartlepool Mail those behind the calls for a 10 per cent rise for MPs are “not living in the real world”.
The comments from the town’s MP come after Chancellor George Osborne insisted a 10 per cent pay hike for MPs is “unacceptable” after the Commons watchdog reiterated its determination to push ahead with the rise.
The Chancellor suggested the move will be blocked after the General Election, stressing that the Independent Parliamentary Standards Authority’s (Ipsa) position was not “final”.
The comments, in an interview with the BBC’s Andrew Marr show, came after new Ipsa chief executive Marcial Boo reiterated its commitment to the increase from £67,000 to £74,000.
Mr Wright told the Mail: “This is ridiculous and those calling for it are not living in the real world.
“If it came to a vote, I would strongly be voting against.”
He added there is already a disconnection between politicians and the general public and this would only make that worse.
Mr Boo said the economy was recovering and politicians should not be paid a “miserly amount”.
He said: “It is not an easy thing to do. We want to have good people doing the job and they need to be paid fairly.”
> But surly those criteria could – and should – be applied to any job ? Not forgetting that any other job doesn’t get the wide range of perks that MPs come to expect.
Source – Hartlepool Mail, 09 Sept 2014