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Michael Martin is to resign today as Speaker of the House of Commons as the controversy over MPs' expenses claims its biggest scalp.

Westminster sources said this morning that the veteran Labour MP for Glasgow North East had decided he should go in the face of yesterday's unprecedented attacks on his authority on the floor of the House and after losing the trust of the Prime Minister.

One Labour MP who directly called on him to go during in the Commons yesterday – David Winnick – welcomed the move. "That is the right and honourable course to take," he said. "His resignation will be the first step in the House recovering its reputation."

Mr Martin is to inform MPs of his decision at the start of Commons business at 2.30pm. He is expected to leave before the summer recess, rather than trying to stay on in the post until the next election.

The move follows amazing scenes in the House yesterday after Mr Martin issued a "profound" apology on behalf of all MPs after publication of the details of hundreds of dubious expenses claims and damaging stories of MPs "flipping" their designated main and second homes to maximise their income.

As Westminster reverberated to the news of Mr Martin's departure, the Tory MP whose claim for the cleaning of the moat his country estate came to embody MPs' excesses announced that he is to stand down at the next general election.

Douglas Hogg, who has represented Sleaford and North Hykeham in Lincolnshire since 1979 and served as Agriculture Minister under John Major, was embarrassed by the revelation that he claimed £2,115 for having the moat dredged at his country manor house.

As Speaker, Mr Martin is in ultimate charge of Commons administration and had repeatedly thwarted moves to ensure greater transparency on parliamentary expenses.

He had himself been criticised on more than one occasion on his lavish expenditure, which included £4,000 in claims for his wife's taxi bills while she was out shopping and more than £700,000 spent on refurbishing Speaker's House.

But it was his failure to recognise the depth of public anger over individual claims reported by The Daily Telegraph – and his unparliamentary rebuke of two MPs who questioned his actions – that prompted the first open calls for his resignation last week.

The Government had so far resisted pressure to allow a Commons debate on a no-confidence motion tabled by Douglas Carswell, a Tory backbencher, which appeared for the first time on Commons orders this morning, signed by 23 MPs from the three major parties by this morning.

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