MPs to push for 'pay now, claw back later' director pay

When asked by Mr Stride whether he would support changes to future tax arrangements where the advantages of taking dividends compared to PAYE income were reduced, Mr Chamberlain said he would like a “fundamental review” of the tax system for self employed workers.

He said: “The taxation system is far less than optimal at the moment. We have more and more people turning towards being self-employed, so let’s have a good look at this situation.

“Let’s have a proper review and get something transparent that we’re all happy with because then we can move forward. This issue of tax and self-employment has dogged the sector for years.”

Concerns were also raised about other self-employed workers who were “falling through the gaps” of the government’s support schemes.

Kate Nicholls, chief executive UK Hospitality, said the income support scheme was “very good” if you fell within the parameters, but it left people with no support except Universal Credit.

Mr Chamberlain agreed, saying the scheme had “sharp edges”. He said: “If you earn 1p over £50,000 or started working as self-employed over the past year, you get nothing.”

What do you think about the issues raised by this story? Email us on to let us know.