Now help forgotten 5million MADRID
Business groups and unions press Chancellor on self-employed bailout
RISHI Sunak is under pressure to speed up plans to bail out five million self-employed workers whose livelihoods could vanish “in the blink of an eye”.
Business groups and unions have urged the Chancellor to do more to help Britain’s freelancers, contractors, self-employed and creatives – who were offered just £94 a week.
Sunak confirmed plans last week for at-risk employees to have up to 80 per cent of their wages paid, up to a maximum of £2500 a month.
He is now “actively considering” ways to plug the gaps in the support package amid claims he had “left behind” the self-employed.
British Chamber of Commerce director general Dr Adam Marshall warned that thousands of sole traders need immediate help to survive as their livelihoods “vanish”.
He said: “The Government has taken massive steps to help businesses. Ministers must now ramp up support for the self-employed, many of whom have seen their livelihoods vanish in the blink of an eye.
“There are five million people who need help similar in scale and scope to that put in place for larger firms.”
TUC General Secretary Frances O’Grady said: “The Government took a big and important step last week with support for employed workers. It’s only right that they quickly follow this with a similar
AID Rishi Sunak
level of support for the self-employed.” CBI director general Dame Carolyn Fairbairn added: “The £94 is not enough for the self-employed to live on and I know the Government, with business, are working to find a solution.”
A Populus survey last week found almost half of the self-employed felt they would have to work even if they had Covid-19. It underlines the fears of unions and industry bodies who believe self-employed or gig economy workers would just carry on.
Whitehall officials believe a universal basic income would be difficult to implement and that quicker solutions are needed. They are thought to be considering a Norwaystyle approach, where self-employed workers will get grants of 80 per cent of their average income of the past three years.
Communities Secretary Robert Jenrick has signalled that the Treasury is considering further measures.
He told the BBC yesterday: “We appreciate this isn’t perfect and the Chancellor is going to keep reviewing the situation. It’s not as simple as supporting those in employment.
“The purpose of our employment mechanism is to help continue the connection between employees and their business so, once this is over, those individuals can return to their usual work. It is operationally very difficult to create a scheme akin to that for the selfemployed.”
Labour leader Jeremy Corbyn said the self-employed were a “major omission” from the plans.
Leadership favourite Keir Starmer, who has called for statutory sick pay to be tripled, said: “Ministers are several steps behind. Countries such as Denmark have shown what actions government can take to protect people’s incomes.”
United Private Hire Drivers, which represents minicab drivers, said drivers “face the abyss” without help. Pamela Morton, of the National Union of Journalists, said members are “seeing work dry up and face suffering real hardship”.
More than 2000 musicians have written to the Chancellor saying there had been “complete shutdown of our places of work”.
The musicians, led by Ed Barker, a former saxophonist for George Michael, said: “We are simply asking for fair and equal treatment and for the coronavirus Job Retention Scheme to be extended to the self-employed.”
Signatories include musicians in various orchestras, including the London Symphony and members of bands in West End musicals.
The Association of Independent Professionals and the Self-Employed called for workers to get 80 per cent of their wages, assessed and delivered through the self-assessment tax system.
Union Unite said about 1.3million “bogus” self-employed workers in the building trade – employed by construction firms but technically self-employed – also needed support.