Budget (2): Back to Work misses self-employed target

Although the Budget promoted 'Back to Work' measures for many sections of the workforce, including the older 'returners' and young parents, the Government has been accused of missing an opportunity to target the self-employed sector.

Self-employed and freelancer representative group, IPSE, accused the Government of avoiding the biggest obstacles facing the self-employed and preventing thousands more from leaving economic inactivity. Andy Chamberlain from IPSE, said: "It's extremely disappointing that the Chancellor has chosen to overlook self-employment in his plans to encourage more people to return to the workforce.

"Over 700,000 people have left self-employment since 2020 – very many of them have not returned since. Whilst the measures on pension allowances and childcare will benefit some, the Chancellor's Budget for Growth ducks the big issues preventing many more from returning to the labour market on their own terms.

"Addressing the devastating IR35 rules, raising the VAT threshold and increasing the trading allowance would have sent a clear signal that the Government values self-employed workers and needs them to drive growth. The Chancellor claims he wants to encourage labour market participation, yet his Budget completely ignores the most dynamic part of the workforce – the self-employed."