MP Angela to repay second home profits

Angela Smith MP
Angela Smith MP
0
Have your say

Sheffield politician Angela Smith is one of 29 MPs told to repay ‘capital gains’ profits from the sale of their second homes.

MPs have been asked to hand over the money by the Independent Parliamentary Standards Authority.

Claremont Hospital

Claremont Hospital

The money is due to be paid under transitional arrangements regarding second homes after the Commons expenses scandal of 2009.

Ms Smith’s payments involve sale of a second home at an undisclosed location in London.

National newspapers claimed the Penistone and Stocksbridge Labour MP made £170,000 on the sale - and was told she had to repay £8.496 which was classedas ‘capital gain’.

Ms Smith, who is recovering from hip replacement surgery, said in a statement: “Angela co-operated fully with the Independent Parliamentary Standards Authority, agreeing to pay all monies due to Parliament when requested and did so without question or delay.

“All taxes due to the exchequer have been paid in full.”

Shadow Deputy Leader of the House Ms Smith’s husband and Sheffield city councillor Steve Wilson said his wife would not be commenting further and declined to reveal details about the second home.

Numerous other high profile MPs have been told to make payments by IPSA, including Defence Secretary Philip Hammond and Owen Paterson, the Environment Secretary.

Payments have been triggered under arrangements introduced in 2010 after the expenses scandal.

IPSA banned use of Commons expenses to pay mortgage interest in the wake of concerns about abuse of the system.

But transitional arrangements were put into place allowing MPs to keep claiming the money up to last August and 71 MPs claimed a total of almost £1 million.

The 42 MPs who have not been asked to make repayments of ‘capital gains’ from sale of the second homes include Nick Clegg - who had claimed £9,104 on the expenses system.

But Mr Clegg voluntarily handed over £38,500 profit made from the sale of his old constituency home on Knowle Lane, Ecclesall, to the House of Commons authorities.

Sheffield Hallam MP and Deputy Prime Minister Mr Clegg bought the house in Bents Green in 2006 for £280,000. It was sold for £325,000 in 2011.

The profit of£38,750 was left after fees and other costs were taken off.

One of the 29 MPs asked to repay ‘capital gains’ profits - Peterboriugh Tory MPStewart Jackson - is being sued by IPSA after refusing to repay £45,000 the watchdog says he owes.

An IPSA spokesman said: “One of the most damaging aspects of the expenses scandal was where MPs got taxpayer support to own a second home.

“The final stage in bringing this to an end was allowing a short transition for MPs who were already committed to second mortgages.

“MPs knew the conditions at the start.”