COLCHESTER MP Bob Russell claims £780 expenses a month to rent an office from a company he has shares in, it has been revealed.

Newly-released MPs’ expenses covering the last eight months of 2009 reveal for the first time how much politicians claim to rent offices.

They show Lib Dem Mr Russell claimed £780.42 a month to rent half of Magdalen Hall, his constituency base, in Wimpole Road.

The taxpayers’ money goes to Magdalen Hall Company Limited, a company in which Mr Russell is the largest shareholder.

The company was formed in 2002 to facilitate the purchase of the former St Mary Magdalen Church, by Colchester’s Lib Dems, for £100,000.

Party members were called on to make donations to buy the hall and were given shares in return, with Mr Russell putting up more of the cash than anyone else.

Paul Smith, a leading Lib Dem, insisted the company had never paid out any dividends and Mr Russell had never profited from being a shareholder.

He said: “He has not made a penny out of that investment. He has not sold any shares.”

A leading estate agent has stated the £9,365-a-year rent is an appropriate market rent.

The money goes towards paying off the mortgage, any renovation or building work and other expenses.

Some other expenses, including electricity and phone bills, are claimed separately.

Last year the company had accumulated a surplus of about £2,000, which it paid corporation tax on and which has been set aside.

Half of the converted church is used by Colchester Lib Dems.

Mr Russell and three staff work through his casework and hold constituency surgeries in the other half.

The figures show Mr Russell claimed £19,444.84 in expenses over the last eight months of last year.

Shareholders could make a loss, profit or break even if they sold Magdalen Hall.

It is understood even if they did sell it, they would re-invest the money in a new base.

Clacton MP Douglas Carswell claims £600 a month to rent his office in Station Road, Clacton.

Harwich and North Essex MP Bernard Jenkin’s claims included hiring a room in Lawford’s Venture Centre.

He has not claimed recently to rent an office.

Mr Russell declined to comment.