National Grid slammed over staff expenses

The utility giant – which has a significant supply business in America confirmed it had withdrawn $4m (2.6m) from its latest US price hike plans relating to non-essential staff expenses.

But New York and Massachusetts regulators claim National Grid is wrongly charging as much as $26m (16.8m) in employee expense costs as part of its latest submission, under which the group is hoping to push through multi-million dollar rate rises.

According to The Sunday Telegraph, the Attorney General of Massachusetts claims to have found expense costs filed including $1,200 (778) for shipping a wine collection, $1,200 for cat transportation, $546.57 (354) for face cream and nearly $15,000 (9,700) for Christmas parties .

The regulators are said to be concerned over the company's accounting practices and attempts to see US consumers pay for expenses through their rates.

National Grid said some of the expenses flagged up related largely to relocation costs for British expatriate staff working in America.