Peer on furlough sorry for claiming Lords allowance

LORD FOX has promised to repay the taxpayer after The Daily Telegraph revealed he furloughed himself while also claiming his peer’s attendance allowance.

The Liberal Democrat frontbencher was accused of “milking” the system after he was exposed as the first Parliamentarian to have his wages subsidised by the Treasury, despite having a £100,000 cash pot in his company and two homes worth more than £2 million.

He was initially unapologetic about furloughing himself while claiming the optional £162 daily allowance for his Lords work, which has been conducted via Zoom during the lockdown.

However, after widespread public criticism, including calls for his peerage to be “furloughed”, Lord Fox apologised.

He said yesterday: “I recognise my error in judgment and I apologise. I have already begun to repay the money I received as part of the furlough scheme and intend to repay the full amount.”

The 62-year-old Lib Dem spokesman for business is the owner and sole employee of Vulpes Advisory, a “strategic communications” company. He chose to furlough himself and have his wages paid by the Government despite having access to more than £100,000 cash in his company bank account.

Asked why he did not first use the £100,000, he told this newspaper: “I’m hoping to tide the business over. I’m hoping to relaunch it properly when the scheme … when the virus lifts.”

Asked if his actions were “greedy” he said: “I don’t think conflating the two is even logical.”

He added: “If HMRC had thought it was ineligible for me to have applied for that, then they would have said so.”

Senior Conservative MPS criticised the peer’s actions. Robert Halfon said the furlough scheme “was never meant to be for wealthy lords”. Chris Skidmore, the former universities minister, said: “Time to furlough his peerage.”

Mr Halfon added: “It’s incredible that when my residents in Harlow are struggling to keep a roof over their heads, this peer seems to want to milk the taxpayer at both ends, for every penny – both through the Lords allowance and the furlough scheme.”

Asked about Lord Fox’s case, Downing Street said it was for “individuals to explain why they have chosen to apply to use the scheme for the people who they employ”.

The Lib Dem party last night declined to comment when asked whether Lord Fox should remain on its front bench.