Critics call for planned rule change on outside work to include restricting use of personal companies to avoid tax

Critics have urged Boris Johnson to restrict MPs using personal companies to skirt tax bills under the planned new rules on second jobs, as the Conservative sleaze row continues to dominate Westminster.

Using a personal company to accept payments for consultancy work can provide benefits such as avoiding income tax of up to 45% at source on the earnings, with an investigation by the Times finding multiple MPs were paid in total about £1m via the arrangements.

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