Kate Dearden launches consultation on bogus self-employment loopholes

The proposals would clarify employment status and extend protections for genuinely self-employed people while leaving tax status unchanged.

Business minister Kate Dearden has launched a consultation on measures intended to stop employers misclassifying workers as self-employed.

Kate Dearden MP. Photo: UK Parliament (official portrait).
Kate Dearden MP. Photo: UK Parliament (official portrait).

External estimates cited by the Government suggest that more than 900,000 people could be affected by bogus self-employment and may be missing rights such as the National Minimum Wage and holiday pay.

The consultation will seek views on how to provide greater clarity for businesses and workers. Ministers say the changes could particularly affect parcel couriers, delivery drivers, hairdressers and people working through digital platforms.

Separate proposals would give genuinely self-employed people a right to a written statement about each contract they enter. Blacklisting protections would also be extended to them.

The consultation concerns employment status for employment rights and does not propose changes to tax status or tax frameworks. It runs for 12 weeks and closes on 8 January.

The work forms part of the Government's Make Work Pay programme. Final policy will depend on the consultation response, so the measures are proposals rather than rights already in force.

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  • published this page in News 2026-10-14 20:02:21 +0100

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Kate Dearden launches consultation on bogus self-employment loopholes

Kate Dearden launches consultation on bogus self-employment loopholes