ONE of the first decisions of the new Scottish Parliament is likely to be the establishment of a national standards commission to investigate misconduct among its lesser brethren in local government.

However, Local Government Minister Henry McLeish indicated yesterday that a proposed new code of conduct could be applied to MSPs and that, in time, proposals may also emerge to deal with misconduct among the 2500 people operating in the huge quango empire.

The new commission, in conjunction with local standards committees within local authorities, would have the power to impose periods of suspension, possibly up to three years, on councillors found guilty of unethical behaviour.

Against a background of fierce criticism meted out to local government by Scottish Office Ministers in recent times, Mr McLeish was at pains to emphasise that this was a partnership issue and that the proposed code of conduct would in fact be drawn up by the Convention of Scottish Local Authorities, working in conjunction with the Ombudsman, the Accounts Commission and the Scottish Office.

Mr McLeish said: ''It's not what we're doing to local government, it's what we want to do with them. I think what we need to do is send a very powerful message out throughout the length and breadth of Scotland that we will be pushing forward on this subject, and what we're discussing today will form part of a Bill to be brought before the Scottish Parliament for enactment.

''Can I make the point that Sir Alec Douglas-Home made in the 1960s, that being in public service is a real privilege. You are elected on a basis of trust, but with that privilege goes enormous responsibility. What we're saying is we don't expect people to sign up to be elected representatives if they don't acknowledge those responsibilities.''

Cosla president Councillor Keith Geddes emphasised that the vast majority of councillors were decent and hard-working and that the behaviour of the few should not be allowed to undermine the reputation of the many.

He said: ''Councils sometimes get the blame for issues that are outwith their control and which should be dealt with by political parties. I think there should be a level playing field in conduct across the public sector and that the same standards of conduct should apply to members of the Scottish Parliament.''

The Scottish Conservative spokeswoman on local government, Daphne Sleigh, dismissed the initiative as ''a cynical publicity stunt''. She doubted if it would succeed when previous measures had signally failed to ''clean up the muck heap of Labour in local government''.