Bank reduces expenses limit

THE Bank of England is to reduce the amount its top officials can claim on expenses after two bigwigs ran up a near £400,000 bill for travel and flights.

Donald Kohn and Anil Kashyap, members of the Bank’s Financial Policy Committee, came in for sharp criticism from MPS earlier this year after it emerged they spent £390,000 on travel expenses, including more than £11,000 on one flight.

The Bank said it is now placing a cap on the costs for hotels in certain locations and reducing the daily meal allowance from £50 to £40.