Self-employment group, IPSE warned that this drop shows that the 'glaring gaps in support' are leading to a 'long-term, avoidable decline' in the sector.
Derek Cribb from IPSE said: “The continuing drop in the number of self-employed in the UK shows that the glaring gaps in support are leading to long-term, avoidable decline in the sector. This is deeply concerning not only for the self-employed themselves, but also for the UK’s prospects in the coming recession.
“After the 2008 financial crisis, it was rising self-employed numbers that kept unemployment comparatively low – as uncertain employers looked for more flexible expertise instead of permanent employees. Now, this does not appear to be happening and the self-employed sector is in precipitous decline. Some self-employed are finding their way into full-time roles, but many others are joining the record flow into unemployment.
“Government must work quickly to stem this flow by urgently getting support to the left-behind self-employed groups. Extending support would be a cost now, yes, but it would be a temporary cost during the pandemic, to hold back an even worse unemployment problem later.”
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Susie Hughes © Shout99 2020