Lobbying curbs on way as peers hit by new sleaze scandal branded 'a new low for British politics' Ministers announce crackdown on lobbying Labour kick out two peers and a third resigned from the Ulster Unionists All three Lords recorded discussing asking questions in return for payment Government will create statutory register of lobbyists By Tim Shipman, Deputy Political Editor Tory Cabinet Office Minister Francis Maude said the Government is set to legislate to create a statutory register of lobbyists Ministers announced there will be a crackdown on lobbying last night after three members of the House of Lords were embroiled in a new sleaze scandal. In what was branded a "new low for British politics," Labour kicked out two peers and a third resigned from the Ulster Unionists after they were recorded offering to do parliamentary business in exchange for cash. Tory Cabinet Office Minister Francis Maude yesterday said the Government is set to legislate to create a statutory register of lobbyists in this session of Parliament - even though it was dropped from the recent Queen's Speech. "We are going to do this," he said, adding that he would be "astonished" if the powers were not in place by the next general election in 2015. Deputy Prime Minister Nick Clegg will today say that the Liberal Democrats will ensure the proposals are pushed through before the election, along with powers for voters to "recall" MPs who are found guilty of financial misconduct. The plans had been kicked into the long grass after disagreements between Tories and Lib Dems, but a Downing Street source told the Mail yesterday: "It will happen." The issue hit the headlines again yesterday after Labour suspended two peers for offering to assist undercover reporters who were posing as lobbyists. Former Cabinet minister Lord Cunningham - once known as "Junket Jack" for his love of the high life - and former senior police officer Lord Mackenzie of Framwellgate denied wrongdoing. But they and Ulster Unionist Lord Laird were all recorded discussing how, in return for payment, they could help lobbyists representing a fake solar energy firm by pushing their agenda. The Sunday Times released a video of Lord Cunningham saying he would accept fees of £12,000 a month - £144,000 a year - to ask parliamentary questions on their behalf, and that he could "get other people to ask questions as well." He told undercover reporters he offered "value for money" because he could introduce them to senior members of all three of the main political parties. Lord Mackenzie, a former president of the Police Superintendents" Association, said he could arrange parties for paying clients on the terrace of the House of Lords. And he said he could get around Lords rules requiring peers to declare financial interests by asking "a colleague who has nothing to do with it, "would you host a function for me?" ." Lord Laird told undercover reporters that, working together, peers could ask parliamentary questions for each other's clients, put down amendments in debates or write to ministers. He was also embroiled in a second, separate sting operation after telling reporters from BBC Panorama, who were posing as lobbyists, that he would be interested in accepting a retainer of £2,000 a month to lobby for Fiji. He indicated that he would use the promise of a trip to Fiji as a "bribe" in order to get others to join the group. He was recorded saying: "I'll deny having said this, but it's a bribe." That undercover operation - in tandem with a second national newspaper - was the same one that exposed Newark MP Patrick Mercer, who resigned from the Conservative Party on Friday after accepting £4,000 to ask parliamentary questions. Last night it was suggested that a legal complaint is expected to be issued to the police so Mr Mercer can be investigated for breaches of the Bribery Act. The House of Lords code of conduct says peers "must not seek to profit from membership of the House by accepting or agreeing to accept payment for providing parliamentary advice or services." Lord Cunningham referred his own case to the Lords Commissioner for Standards and said he was consulting lawyers. He claims he "quickly became suspicious" of the journalists. He added: "I told them I always stick to the rules and declare any interests. I informed them the next day that I wanted nothing more to do with them. Newark MP Patrick Mercer resigned from the Conservative Party on Friday after accepting £4,000 to ask parliamentary questions Lord Laird added: "I wish to make it clear that I did not agree to act as a paid advocate in any proceedings of the House, nor did I accept payment or other incentive or reward in return for providing parliamentary advice or services." Lord Mackenzie said he was "quite happy" that he had not broken the rules. "I went back to my office, I checked the codes of conduct and I decided that it was getting a bit near the mark and I decided to decline the offer," he said. Shadow Defence Secretary Jim Murphy said the latest claims were "a new low for British politics" and voters would be "sickened." "The public, who have looked on with a sense of astonishment and with a sense that there is one rule for those who govern and another set of rules for those who are governed, will just be utterly sickened by it, and they are right to be sickened," he said.