Rodney Hide. Pic: NZPA

Wellington, June 3 NZPA - A simple ruling by Parliament's Speaker could open MPs' expenses to public scrutiny, says ACT leader Rodney Hide.

Mr Hide made a name for himself when he came to Parliament in 1996 by campaigning for disclosure and tighter control of expenses and he is backing yesterday's decision to appoint a cross-party committee to consider whether the rules around transparency should be changed.

But Mr Hide says appointing a committee is a "kicking for touch" delaying tactic and Speaker Lockwood Smith could overrule the section of the Official Information Act (OIA) that excludes the Parliamentary Service from its provisions.

"It could be done this morning," he said today.

Dr Smith said yesterday he would convene a cross-party committee of MPs, which is expected to meet tomorrow, to consider whether expenses should be open to public scrutiny.

The inquiry has been prompted by the scandal surrounding the House of Commons, where some MPs have been forced to resign because of their extravagant claims.

Dr Smith announced he was convening the committee within hours of Prime Minister John Key suggesting it should be done.

Mr Hide said expenses had been exempt from the OIA because of fears inquiries would disclose details of MPs' phone calls and the identities of constituents who came to see them.

Mr Hide said those details would never be disclosed because the Act was clear on privacy issues.

He said there was no way anything like the rort in Britain could happen here.

"Over the years we have tightened it up enormously," he said on Radio New Zealand.

"You actually have to produce receipts and it needs to relate to parliamentary purposes."

MPs have unlimited domestic air travel and unlimited use of taxis when they are on parliamentary business.

Those who live outside Wellington get $24,000 a year for accommodation in the capital, which can be used for rent or interest on a mortgage.

MPs who stay in hotels can claim a maximum of $160 a night outside Wellington and up to $180 a night if they are staying in Auckland.

Most MPs get $14,800 for entertaining constituents and visitors and other costs like buying gifts.