COUNTY councillors could be banned from claiming back expenses for food, drink and other hospitality costs as part of strict new expenses rules.

A series of changes to the existing allowances scheme is being proposed in the wake of former leader Lord Hanningfield’s latest arrest.

Hanningfield was arrested by Essex Police last month on suspicion of fraud relating to his county council expenses.

The arrest was made just days after he was released early from a nine-month prison sentence for fiddling his House of Lords claims.

Under the proposed changes, to be considered on October 17, politicians would not be allowed to claim expenses for their guests for meals, drinks or other forms of hospitality unless there are “exceptional circumstances”.

The ban includes purchases on the council’s corporate credit cards, as well as attempts to reclaim money after it has been spent.

The rules will apply apart from in exceptional circumstances, when councillors are representing the council and may need to buy meals or drinks to preserve the authority’s “reputation”.

However, those expenses will have to be approved in advance by one of the council’s finance officers, and councillors will have to submit receipts, the names of the people involved and the reasons for the hospitality.

They will also be limited to a maximum cost of £40 per head.

In addition, the council’s legal team wants councillors to sign each expenses claim they make, acknowledging they are responsible for its accuracy.

Tom Smith-Hughes, leader of the Liberal Democrat group at County Hall, said the changes were needed to restore the council’s battered reputation.

He said: “We have a situation at the moment where the public do not trust us. We need to do what we can to correct that.”

In the report for councillors, County Hall’s legal team said: “Council funds should not normally be used for offering hospitality to third parties.

“If it is likely that a ‘typical’ member of the public would think that using council funds to offer hospitality is inappropriate, then it probably is, and should therefore not be offered.”

The move would make it much easier for police to seek a prosecution if allegations of fraud later emerge.

As well as the changes to the expenses system, councillors have also been asked to agree to more “transparency” at the full council meeting on October 17.

Mr Smith-Hughes, backed by Lib Dem colleagues, has submitted a motion calling for an investigation into how to allow the public to ask questions at council meetings, or showing meetings on the web.

He said: “We need to show people they are able to scrutinise what is happening at the council.”