Bectu writes to Chancellor over proposed reforms to Income Tax Self-Assessment payments 

Bectu has written to the Chancellor, seeking a meeting to discuss the Government’s Timely Payment consultation and our concerns with the current proposals. These proposals do not consider the intermittent nature of work in the creative industries, which is characterised by short-term contracts, project-based work and multiple income streams.

In our response to the consultation, we argued that proposals to reform Income Tax Self-Assessment payments risk creating financial hardship for creative freelancers unless significant safeguards are introduced. 

More than 900 Bectu members also responded to the consultation using our template, demonstrating widespread concern about the impact the proposals could have on workers with irregular incomes.

Any changes to the way Income Tax Self-Assessment is paid must recognise the realities of freelance work in the sector and ensure that workers with irregular incomes are not disadvantaged. Changes must account for fluctuating incomes, late payments and periods between contracts, while providing flexibility and safeguards for freelancers.

The letter argues: “It is vital that any new system is flexible, supports financial stability, and reflects the way creative freelancers actually work.

“Flexibility and taxpayer choice should remain central to any reforms. Given the diversity of working arrangements across the creative industries, taxpayers who combine PAYE and Self-Assessment income should be able to choose the payment mechanism that best reflects their circumstances.”

Read the letter here.