Fighting for you in 2018….

… your business and the hairdressing, barbering and beauty industries

 You’ve told us what matters most to you and we’ll be campaigning on these vital issues this year.  

 VAT and other taxes

 What we want

  •  A tax system which does not give VAT advantages for salons using self-employed workers compared to salons with employees
  •  A reduction of the VAT rate for labour-intensive service industries, such as those enjoyed by salons in other EU member states.
  •  Introduction of tiered rates for salons once they have crossed the VAT threshold, giving them more time to increase their turnover to pay additional VAT bills.  The current system which means a salon is immediately hit with a £17,000 VAT bill as soon as they cross the threshold is a powerful incentive to remain below the threshold.
  •  An end to the imbalance for employers paying 13% National Insurance Contributions, whilst salons using self-employed workers pay nothing

 

Employment Status

What we want

  • Clear guidelines on the status of employees and the self-employed, their rights and the obligations of business owners towards them
  • Recognition that NLW/NLW does not apply to self-employed workers, providing a further incentive for businesses to use self-employed workers rather than taking on employees, and offering the pension contributions and other benefits which go with being employed.

 

National Living Wage and National Minimum Wage

What we want

  • The government has set a target for the National Living Wage to reach 60% of median earnings by 2020.  Currently this is projected to reach £9 per hour by 2020. We are calling for:
  • Increases to the National Living Wage to be introduced at a slower rate, with smaller increases over a longer period of time to protect jobs, especially for junior team members
  • Recognition that increases to the NMW/NMW have a knock-on effect on employment costs in order to maintain pay differentials for more senior staff
  • Apprentices to be paid at the same rate regardless of age or how long they have been on an apprenticeship programme

 

Business rates and high streets

What we want 

  • Recognition that business rates are an outdated tax on physical property, when many businesses no longer need premises and are therefore mostly exempt.
  • Increased exemptions and reliefs on business rates for small businesses 
  • More government support for initiatives designed to improve town centres and the high street, making them more attractive destinations for shoppers and salon clients

 

Apprenticeships

What we want

  • Apprenticeship standards which give individuals the 'salon ready' skills needed by employers
  • A funding model which works for small businesses
  • Apprenticeships recognised by schools, colleges and parents as the route employers prefer into our industry, through better careers advice

 

Better enforcement

What we want

  • Enforcement agencies to actively target businesses which work in the grey 'cash in hand' economy, who do not pay their taxes, who employ illegal workers or who deliberately underpay or otherwise exploit their workers