The Rt Hon Jesse Norman MP
Financial Secretary to the Treasury
Dear Jesse,
I am sure you will know about the current dire financial situation facing many PAYE freelances and this letter is specifically about those at the BBC. Specifically, they are not eligible for the Coronavirus Job Retention Scheme (CJRS) regardless of the type of contract or when they were put on the pay roll, because the Government has prevented the BBC Public Service from furloughing them. It is therefore rather disappointing that your replies to recent parliamentary questions gloss over this fundamental point and assert that people can discuss furlough arrangements with their employers. The BBC Director General, Lord Tony Hall, has made clear that the decision to exclude PAYE freelancers at the BBC from furloughing arrangements was a decision by Government: The BBC was advised by the Government that the BBC Public Service was not eligible to apply.
Having taken the decision to exclude PAYE freelancers at the BBC from the CJRS, it would have been fair and reasonable to ensure they were covered by the Self Employed Income Support Scheme (SEISS) instead. However, that’s not the case – they are unable to access the SEISS either, because of their earnings from PAYE freelance work.
Rather than continuing to hide behind the fact that there are 2 major income support schemes in place, the Government should take responsibility for the gaps and admit that many BBC PAYE freelancers are not currently getting any income support from the SEISS or CJRS – as well as look for ways to bring them on board. PAYE freelancers have been paid and have paid tax – it’s therefore relatively easy to calculate what support they should get over a given period of time. The Treasury could either extend the eligibility criteria for the SEISS or allow the BBC to furlough PAYE freelancers.
I would also note that in a recent reply to a parliamentary question about this problem, you referred to other measures, such as an increase in the Universal Credit standard allowance and Working Tax Credit basic element; an additional £500 million for local councils to support the most vulnerable people in society; and mortgage payment holidays for those in difficulty with mortgage payments. Whilst all these are hugely welcome, they do not meet the needs of all those PAYE freelancers excluded from the income support schemes you have established. For example, I have one constituent who was working full time as a PAYE freelancer with the BBC at the time that lockdown was announced. He had come to the UK especially from Ireland to do so and has not been in the UK long enough to be eligible for universal credit. Despite being employed by the BBC before and throughout the dates required, and paying his taxes at source, my constituent is still ineligible for SEISS or the job retention scheme. He tells me the way he has been treated during this crisis has left him financially ruined.
There is no doubt that the income support your Government has already provided is invaluable and the recent extensions are hugely welcome. But too many people are being left behind as well and I would urge you to look again at ways to close the gaps that exist, including for PAYE Freelancers at the BBC and elsewhere.
I look forward to your response.
Yours sincerely
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