Support for Self-employed and Freelance Workers

Richard Fuller Excerpts

Thursday 17th September 2020 Commons Chamber

[Richard Fuller (North East Bedfordshire) (Con)]

What a powerful start to this debate we have just heard from the hon. Member for Brighton, Pavilion (Caroline Lucas), laying out with passion the case that has, to some extent, not been heard by those on the Treasury Bench throughout this crisis.

I want, in part, to echo a number of the points the hon. Lady made and take hon. Members back to the start of the crisis when all of us as Members of Parliament were met with a series of increasing issues from our constituents. They were worried about not being able to get groceries from their local grocery store. They had loved ones who were overseas. They were worried about their jobs. People could not get loans to keep their businesses supported.

Time and again, those issues were sorted out by the Government to a greater or lesser extent and answers were found. At the end of all that, however, as many hon. Members will know, there was one group that remained excluded from a number of levels of support or where their ability to access that support was not sufficient—the millions of people in this country who are self-employed.

I want to go through some of those issues passionately, if I can, but also with facts. I am sure the Minister will respond with facts, and quite rightly so. She will, I am sure, mention the fact that the Government did find the right arteries, if I can call them that, to get the support to people, particularly those in the job retention scheme and others. That was a tremendous success. The ease with which people were able to access the support when they qualified was also a tremendous success.

The overall record for the Government in terms of economic programmes and international comparisons was also a great success. However, this debate is not about those successes; it is about the omissions from those programmes. A fact it would be helpful for the Minister to provide is to reconcile the difference between the Government’s assertion that 95% of the self-employed are covered and the other assertion that there are 3 million excluded. That would be a helpful reconciliation to have.

It is important for those on the Treasury Bench to understand the issues for the self-employed that have made that speed to get a response so difficult: the fact that their income is lumpy and unpredictable and the fact that they have a variety of employment structures, often taken up over the years at the request of those on the Treasury Bench, make it difficult for schemes to come into place.

[Sir Peter Bottomley (Worthing West) (Con)]

Will my hon. Friend allow me to assert the fact that some people who are self-employed have been able to get back to work, but many involved in large industries such as culture, entertainment, film and music have not been able to because those events are not taking place?

--- Later in debate ---

[Richard Fuller]

My hon. Friend is precisely right. That is one of the three issues the Government really need to focus on as they consider their response to this debate. If we take wedding planners, theatre, live events or conferences, we see that the Government are asking those sectors to remain closed but what is their level of support? Literally hundreds of my constituents in those sectors still cannot earn an income anything like they would have earned in normal times.

I urge the Government also to consider the newly self-employed. We had issues with people who changed jobs from February to March, when the scheme came in. The Government did find some change there, but that was where someone’s change was measured in a matter for weeks. The self-employed can be measured for a matter of months and they still cannot get included because their tax returns are measured on an annual, not monthly, basis. What will the Government do, for example, for a pet care business in Biggleswade in my constituency that suffered precisely because of that?

The criteria for the self-employed were more complex than for those in any other of the schemes that businesses or individuals could apply for. It got to a point, which I will return to in my final comments, where something in what the Government were trying to do for the self-employed was beyond the issue of providing support. I had a musician from Upper Caldecote and a performer from Sandy who were not able to access the scheme because they felt they fell on one side of the criteria and not on the other. If it was good enough for the Government to think of complex criteria for the individual to claim, why could the Government not sort out the problems for people by cross-referencing their dividends so that they could say that they were genuinely self-employed?

It is important that the Government get to grips with the issue of those who feel that they have been excluded, because the self-employed provide so much for our economy. They are the innovators. They are the people who will undercut competitor prices to deliver a better product. They want to over-deliver, because for self-employed people, it is not just about business; it is about themselves. It is how they behave and how they interact with others that is so important. The UK gets so much from the self-employed. We get a quarter of a trillion pounds of contribution to the British economy. We get higher growth. We get a world-beating labour market in terms of its efficiency. We become a front-foot nation. That is why the Government need to act.