Overhaul of MEP ‘gravy train’ expenses faces race against time

Date: 22/05/03

By Martin Banks

A CROSS-PARTY group of MEPs is set to announce an overhaul of the much-abused expenses regime in the European Parliament in a bid to shed its "gravy train" image.

Under the working group proposals due to be unveiled at the next plenary session in Strasbourg (2-5 June), deputies would be reimbursed only for expenses actually incurred.

At present, the system is open to abuse: some MEPs reportedly claim for first-class air travel even if they travel by budget airline.

Conservative deputy Richard Balfe, a member of the five-member group, told European Voice that the proposals could pave the way for agreement on a much-awaited MEPs' statute before the EU expands in 2004. Dutch Socialist Michiel van Hulten, who has spearheaded calls for a clean-up of the expenses system, welcomed them as a "huge step in the right direction".

Under separate proposals, MEPs would be paid the same salary for the first time, €8,500 per month. Currently MEPs' pay is linked to that of their national counterparts, but this has resulted in wide disparities.

While Spanish deputies earn €30,000 a year, Austrian members collect more than treble that. The Germans and Italians are also well up the pay league and will oppose any reform that leaves them worse off.

Even if the deal is accepted, the whole reform package could founder on plans to extend immunity from criminal prosecution for members.

Parliament's President Pat Cox has made reform of MEPs' pay and perks a top priority of his term.

But experts believe that unless agreement on the statute is reached before Greece hands over the presidency to Italy on 1 July, the deal will be as good as dead.

New proposals are set to be annnounced by a group of cross-party MEPs to overhaul the expense regime in the European Parliament.