Watchdog to investigate Betsy salary

Iain Duncan Smith will be investigated over the payment of a secretarial salary to his wife, Betsy, the parliamentary watchdog announced tonight.

Sir Philip Mawer, the parliamentary standards commissioner, said he would be carrying out an investigation into the row now known as 'Betsygate', after both journalist Michael Crick and the Tory leader himself submitted dossiers to him yesterday.

Although Mr Duncan Smith may well be found innocent of any misconduct, the prospect of a investigation into his probity lasting weeks, even months, could give the plotters within the Tory party the ammunition and opportunity they need to dislodge Mr Duncan Smith.

Mr Duncan Smith hit back tonight, calling his oppenents and critics "cowards in the shadows" and saying he was confident he would be vindicated.

In a series of TV interviews, the Conservative leader said: "These cowards have gone after my wife as a way of getting after me and I think it's intolerable. I love my wife deeply.

"Anybody who wants to come after me, come after me but don't go after my wife. I will never ever use my wife as a tool in my political life."

Reacting to the news tonight, Mr Crick said: "I'm not surprised. I gave him [Sir Philip] a lot of strong evidence.

"I expect now some people who spoke to me anonymously will be in contact with the parliamentary watchdog. Phone records and computer records should make it pretty provable whether she [Betsy] was doing 25 hours a week or not."

Asked on Sky News whether he was being "used" by the plotters, Mr Crick said "Possibly to some extent, but that's not the whole story.

"People are disgusted that she is on the parliamentary payroll but apparently not doing any work."

He added that around one in 10 MPs employed family members as secretaries, and that the "whole issue" should now be looked at. Employing spouses is outlawed by the German parliament.

Sir Philip said in a statement: "The nature of the information given to me - some of which is from anonymous sources - makes it [an investigation] necessary."

He stressed: "The fact that I am making further inquiries ... does not imply that I regard the allegations against Mr Duncan Smith as substantiated, simply that I need additional information in order to be able to evaluate them properly."

Speaking to reporters, Sir Philip gave little clue as to the length of his investigation, but said he would be interviewing witnesses personally, possibly including Conservative central office worker Vanessa Gearson.

He revealed he had already spoken to Mrs Duncan Smith, and did not rule out interviewing her again.

But he said anonymous witnesesses must "put up or shut up", and he must be able to "try and test" sources.

And he conceded that one version of events might contradict the other, but he had to seek out "the balance and the truth".

"Proving negatives is always difficult" he admitted, but he said he hoped to be able to deduce how much work the Tory leader's wife had done.

Earlier, senior shadow cabinet figures rallied around Mr Duncan Smith as Mr Crick handed in an internal Conservative party document - said to raise further questions about Mrs Duncan Smith's work for her husband's office - to Sir Philip.

This morning the party chairwoman, Theresa May, said Betsy Duncan Smith was the "sheet anchor" for the Tory leader.

And the shadow home secretary, Oliver Letwin, said he was certain the Conservative party would "come to its senses" and rally round its leader.

Despite an excellent reputation as an investigative journalist, many Westminster reporters believe that there must be plotters against Mr Duncan Smith within Conservative central office itself for Mr Crick to be in receipt of what he clearly believes are incriminating documents and emails.

Mr Duncan Smith last night gave the parliamentary watchdog a 40-page dossier denying he had made improper payments to his wife for secretarial work.

He gave Sir Philip signed statements by himself, his wife and four people who worked for him during the period in question.

He said: "I totally reject claims that I was guilty of financial wrongdoing in the employment of my wife as a diary secretary after I became Conservative party leader."

Ms May conceded on BBC Radio 4's Today programme that the ex-head of Mr Duncan Smith's private office and current deputy director of the Tory party, Vanessa Gearson, had raised concerns in an email to her about Mrs Duncan Smith's role.

Ms May said: "Having looked at the summary of the evidence that has been presented to the commissioner, I think it is perfectly clear that Betsy did do the work that she was paid to do, that was important work in keeping the office together.

"What Betsy was doing was a significant role ... at a particularly difficult time, in the sense that Iain came in as leader and had to create an entire leader's office, his constituency office moved and they moved home all around the same time.

"She was, as the evidence says, the sheet anchor. She was the person who was pulling it all together, providing continuity and ensuring that things were running as smoothly as possible."

Asked on BBC Radio 4's Today programme whether he thought Mr Duncan Smith would survive, Mr Letwin responded: "I very much hope so and I very much expect so.

"I expect that the Conservative party will entirely come to its senses about this."

But Dr Gearson won support from Tim Harman, chairman of the Cheltenham constituency where she is a prospective parliamentary candidate.

Mr Harman told Today: "I would absolutely say Vanessa is totally honest, honourable and her integrity is beyond question.

"She clearly believes what she is doing is the right thing and in that we would support her absolutely."

With the Commons' 659 MPs returning to Westminster today after their conference season recess, the pace of the intrigue - and the rebuttals - is likely to quicken.