Australian Health Minister Sussan Ley resigned on Friday amid growing controversy about her travel expenses and purchase of a Queensland's luxury Gold Coast apartment while on a ministerial trip, BBC reported.

Prime Minister Malcolm Turnbull said he had accepted Ms Ley's resignation on Friday.

"Australians are entitled to expect that politicians spend taxpayers' money carefully, ensuring at all times that their work expenditure represents an efficient, effective and ethical use of public resources," he said.

Australian PM decided to create a new independent authority which will oversee parliamentary expenses, replacing a government department.