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.
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.”
If you wish to comment on this article, please log in and use the Reply button below. Registering is free and easy - see 'Join Shout99'.
Susie Hughes © Shout99 202o