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Gordhan: No money for govt perks

Johannesburg - Finance Minister Pravin Gordhan has sent out a clear message that government should live modestly and that no extra money provided for any perks.

Parliament will have to work within its budget, Gordhan said on Tuesday.

This comes amidst a proposal currently before Parliament that retired MPs could get up to 24 free flights a year for 10 years.

Gordhan said that he discussed the matter with Deputy President Kgalema Motlanthe and the Speaker of the National Assembly Max Sisulu.

He said the fiscus is not going to supply additional money. "So we are not talking about finding additional funds from the fiscus to support whatever changes in benefits that Parliament might be discussing for themselves."

He added that the message they wanted to communicate was that government should live modestly.

"Modesty is an important message to communicate to the public".

"Thirdly, the parliamentary proposals it would appear, when you get into the details, could potentially save money if there's an internal re-balancing... That's the view of Parliament. Those numbers still need to be examined."

Whatever the new arrangement was, it would have to be resolved after the May 7 general elections.

"I think we need to communicate to the public that we don't have extra money to put into any of these exercises... Parliament will have to work within the kind of budget it has," Gordhan said.

"The fiscus is not going to provide any extra money," he said.

The Sunday Times reported at the weekend that the highest policy-making authority for parliamentarians recommended that retired MPs and their spouses get free plane ticket.

An MP who had served one term (five years) would get:

- Eight economy-class tickets a year for 10 years,
- 16 economy-class tickets a year for 10 years for two terms, and
- 24 business-class tickets a year for 10 years after serving three terms.

However, the office of the Chief Whip of the ANC said on Tuesday that this proposal initially mooted by the Democratic Alliance.

The ANC wasn't keen on the proposal for retired MPs to get free flights, spokesperson Moloto Mothapo said in a statement.

"The ANC was initially opposed to the proposal due to the additional burden it would place on the public purse."

"Our decision to back the proposal was made on condition that Parliament must first subject it to the National Treasury, which should conduct a comprehensive assessment of its affordability and practicality."

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