The scandal over MPs' expenses in Britain has ensnared another victim today after a second Labour MP admitted claiming thousands of pounds of taxpayers’ cash for a non-existent mortgage.
David Chaytor has been suspended from the Parliamentary Labour Party pending a watchdog investigation into his expenses, Downing Street announced today.
The Bury North MP has said he will repay £13,000 paid out in interest on a loan which had already been repaid, blaming “an unforgivable error in my accounting procedures for which I apologise unreservedly”.
“I will act immediately to ensure repayment is made to the Fees Office.”
Downing Street said Chief Whip Nick Brown, who earlier this week suspended former minister Elliot Morley over a similar claim, would hold urgent discussions on the “very serious” matter before taking action.
The latest fallout from the Daily Telegraph's publication of leaked expenses claims which have rocked Westminster came after Shahid Malik became the first minister to step down over allegations.
Mr Malik, Labour MP for Dewsbury, left his post pending a watchdog investigation into whether he enjoyed a cut-price flat rent deal which would breach the ministerial code of conduct.
He firmly denied any wrongdoing over the financial arrangement or a £66,827 claim over three years for his second home in London and predicted he would return to his job “with my head held high”.
Mr Chaytor’s admission will further fuel public demands for a police inquiry into expenses claims as police and prosecutors prepare to meet to discuss potential investigations.
A panel of senior Scotland Yard officers and prosecutors will meet next week to decide what action to take in response to a surge of complaints that MPs misused parliamentary expenses.
Lawyers have said there would appear to be a case for some to be pursued for theft or other offences.
In a statement, Mr Chaytor told the newspaper: “In respect of mortgage interest payments, there has been an unforgivable error in my accounting procedures for which I apologise unreservedly,
“I will act immediately to ensure repayment is made to the Fees Office.”
He was also accused by the newspaper of “flipping” his second home expense claims between five different properties since 2004. He said the moves were forced by “changing and complex family circumstances”.
Among other allegations made by the newspaper in the latest slew of expenses revelations were that Labour former minister Sir Gerald Kaufman charged £1,851 for an antique rug, submitted a claim for an £8,865 television and was paid £15,329 of a £28,834 bill for improvements to a London flat after telling Commons authorities he was “living in a slum”.
Tory Anthony Steen, the MP for Totnes, was reported to have claimed tens of thousands of pounds for looking after a “country mansion” including work on 500 trees.
Labour politician Tam Dalyell submitted a claim for £18,000 for bookcases two months before retiring as an MP in 2005.
PA