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Select Committee on Standards and Privileges First Report


EVIDENCE TO THE SSRB REVIEW OF PARLIAMENTARY PAY, PENSIONS AND ALLOWANCES


1. The Senior Salaries Review Body (SSRB) is in the process of conducting the triennial review of parliamentary pay and allowances initiated by the Prime Minister in July 2006.[1] As during previous reviews, SSRB is taking evidence from individual members of both Houses, from representatives of various groups and from certain office holders. In this context, SSRB invited our Chairman to provide evidence to the review in that capacity. The Parliamentary Commissioner for Standards also received an invitation to make a submission.

2. Although the primary focus of SSRB is on levels of pay and allowances, it also has regard to wider issues, including reputational issues. Thus in its 2001 report, in the context of its recommendation for the introduction of the Incidental Expenses Provision, SSRB commented[2] that its introduction:

    "will make the reimbursement of legitimate expenses more transparent, reduce opportunities for possible or perceived abuse and increase public confidence."

In its 2004 report, SSRB commented on allowances more generally, in the following terms:[3]

    "Whilst our task is to set levels of parliamentary pay and allowances and not to administer the manner in which they are utilised or monitored, we note that outside Parliament, the nature of the various allowances and how they relate to each other is not necessarily well understood. Questions are raised in the media, for example when it is thought that Parliamentarians are profiting from exploiting the allowance system, or directing allowances for quasi-political use. It is for Parliament and the House authorities to establish the detailed rules according to which allowances may be claimed. We believe that public acceptance of the way Members of Parliament and of the House of Lords use allowances requires their use to be transparent, individual by individual, on the basis that claims should be justified and documented in all cases, and that the maximum available allowance is not a "right"."

3. The responsibilities given to us by the House in relation to maintaining high standards of conduct on the part of its Members mean that we also have to have regard to reputational issues surrounding Members generally, and Parliament as an institution. As SSRB has pointed out, perceptions of misuse of allowances, real or imagined, can have a damaging effect on public confidence, and the Code of Conduct specifically requires Members to conduct themselves in a manner which will tend to maintain and strengthen the public's trust and confidence in the integrity of Parliament.[4]

4. In view of this congruency of interest, the Chairman, having agreed the terms with us, made a submission on our behalf to SSRB covering some general reputational points it may wish to take into account in the course of its current review. A copy of his evidence is reproduced in the Appendix to this report. The Commissioner was closely involved in the preparation of this and, at his request, we are also reproducing his submission to the SSRB, which is intended to supplement our own.



1   Official Report, 25 July 2006, Vol. 449, Col 102-3WS. Back

2   CM. 4997-I, paragraph 3.45. Back

3   CM. 6354, paragraph 1.11. Back

4   HC 351(2005-06), Code of Conduct, paragraph 15. Back


 
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Prepared 21 February 2007