Senior Tory Liam Fox loses expenses appeal and must repay £20,000

Senior Tory MP Liam Fox today lost an appeal against having to repay more than £20,000 in second home allowance.

Former high court judge Sir Paul Kennedy upheld a ruling by expenses auditor Sir Thomas Legg that the shadow defence secretary should pay back £22,476 claimed in mortgage interest payments. Five out of 14 MPs or former MPs lost their appeals to Sir Pau.

Mr Fox had a £120,000 mortgage on his London flat in 2004. He increased this "incrementally" to £300,000 as of December 2008 but said he did not claim interest on anything over £270,000. Mr Fox said the increased loan was used to refurbish the flat and for a constituency home. Sir Paul said £30,000 of refurbishments had been allowed.

Transport minister Sadiq Khan received £1,051.34 in expenses for 18th birthday cards he sent to constituents, despite the claim initially being refused, the parliamentary commissioner for standards John Lyon has revealed.