Osborne in expenses probe

SHADOW chancellor George Osborne is facing an expenses probe by the Parliamentary Standards Commissioner following a complaint by the Labour Party chairman for his constituency.

Laurie Burton, Labour chair in Osborne’s Tatton constituency, alleges that between 2001 and 2003, Osborne claimed a second home allowance on his main home, a practice known as “flipping”.

Burton also says Osborne took out a mortgage worth £5,000 more than the price of the second home and claimed allowances to cover interest payments on the entire debt, rather than just the cost of the house.

A spokesman for Osborne said he had never “flipped” his second home allowance for private gain and was “relaxed” about the accusations.

John Lyon, the Parliamentary Commissioner for Standards, will investigate the claims.