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Record fall in self-employed blamed on lack of support
by Susie Hughes at 10:38 11/08/20 (News on Business)
Government statistics have shown that the number of self-employed has fallen by a record 238,000 in the second quarter of 2020.
Self employment group, IPSE, described it as a 'disproportionate and disturbing' drop which will lead to a 'brittle workforce' just when, going into a recession, it needs to be at its most agile.

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IPSE has said the drop in self-employment is 'almost certainly' because of gaps in self-employed support during the coronavirus crisis compared to the more comprehensive employee support. It also reported in its most recent Confidence Index that self-employed quarterly incomes have dropped by 25 per cent after a record fall in the amount of work they are able to secure.

Derek Cribb of IPSE said: “In the second quarter of 2020, there was a disproportionate and disturbing slump in the number of self-employed in the UK – far more than among employees. This is almost certainly because of the serious gaps in the Government support for the self-employed, including directors of limited companies and also the newly self-employed, who are at the most fragile stage of their careers.

“Going into a recession, we would normally expect a jump not a slump in the number of self-employed, as businesses look to the flexible expertise they offer. However, with government policy driving down the number of self-employed, there is a real fear the UK workforce will become brittle and rigid just when it needs to be at its most agile.”


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