Hinch calls for end to MP allowance 'rort'

Derryn Hinch says politicians should not be able to pocket unused electoral allowances as income. (AAP)

Federal politicians should not be able to claim unused allowances earmarked for electoral matters as "income", ex-senator Derryn Hinch says.

Former senator Derryn Hinch has called for an end to the practice of federal politicians claiming unused allowances as income.

Mr Hinch wants an end to what he described as a "rort" that allows unspent electoral allowances to be pocketed instead of being used to travel and meet constituents.

Mr Hinch, who says he paid for community initiatives with his allowance, wants the system changed so politicians cannot pocket any unused funds.

"I was amazed when I first came to Canberra and was told the electoral allowance was an allowance," he told The Daily Telegraph on Monday.

One Nation leader Pauline Hanson said she used her allowance to help pay for travel or donated it to community organisations.

"I see the feasibility of having this allowance but I'm accountable to the people," she told Nine's Today program.

Senator Hanson accused Mr Hinch, who had a liver transplant in 2011, of collecting the allowance despite voting against a bill to suspend pay rises for MPs until the federal budget was in surplus.

"This is a man who actually was on his death bed to get a liver and actually abused that as well by continuing to drink," she said.

"But do I have any time for Derryn Hinch? No, I don't."

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