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Brexit blamed for collapse in freelance confidence, and cashflow

Survey of self-employed people finds they are missing out on income and unconvinced Brexit will improve the situation

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Freelancers could be out of pocket to the tune of £16,000 a year due to Brexit.

The organisation that represents self-employed workers has blasted Theresa May’s administration as ‘chaotic’.

According to new research freelancers have seen their quarterly income drop by an average of £4300. The work was carried out for the Association of Independent Professionals and the Self-Employed (IPSE) with PeoplePerHour, a jobs board for hiring freelancers.

59% of those surveyed said confusion over Brexit was at the root of the downturn and 55% blamed government policy.

Three quarters of respondents said they expected their business costs to rise over the next 12 months.

IPSE also revealed last month that the number of freelancers continues to increase, with fathers making up perhaps the biggest proportion of those working for themselves.

Chaotic management

Andy Chamberlain, IPSE’s Deputy Director of Policy, commented: “Freelancers are clearly extremely frustrated with this Conservative government’s chaotic management of Brexit and business. It should be a stark warning for the Tory leadership hopefuls.

“The ‘party of small business’ has done very little to understand or encourage the smallest firms or the future flexible workforce. Even beyond Brexit, we have seen only small steps on late payment, inertia on parental rights and outright hostility on tax.

“Freelancers are some of the most entrepreneurial and productive people in our economy and they are central to Britain’s business success, whatever happens with Brexit.”

Xenios Thrasyvoulou founder and CEO of PeoplePerHour comments: “It’s disheartening to hear from the freelance community just how little confidence they have in the coming quarter caused by a combination of Brexit factors and the government’s approach to their policies for freelancers and taxes.

“The next leader needs to recognise the importance of freelancers to the UK economy and prioritise the fiscal policies that impact them.”