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Leaders snub deal on MPs' expenses

The main opposition party leaders have failed to agree a common approach to the reform of MPs' expenses as Gordon Brown defended plans for a new daily allowance for attending the Commons.

A meeting between the Prime Minister, Tory leader David Cameron and Liberal Democrat leader Nick Clegg broke up without a consensus on the highly contentious issue.

It followed proposals announced by Mr Brown to replace MPs' controversial £24,000-a-year housing allowance with a daily rate determined by attendance.

Mr Clegg said the party leaders could not agree over the Prime Minister's plan for the new allowance.

"My problem is that Gordon Brown won't budge, he wants to move to this system where basically MPs will be given a cheque simply for turning up at work," he said.

"He wants to replace what at the moment is a flawed system with a system which, in my view, is even more flawed."

He added: "He seemed determined to put what I think is a spectacular step in the wrong direction to a vote in the House of Commons next week."

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