The forgotten during COVID-19: A plea to my MP

If you are one of those who have fallen between the cracks and missed out on government COVID-19 funding, writing to your local MP to raise your concerns is one way to potentially get the financial support you need.

One of our director’s has done just this, and has kindly let us share his letter to his local MP below.

I feel compelled to contact you regarding an injustice with regards to the government’s furlough and self employed support schemes.

I currently fall between the gaps of the support offered.

I am the sole employee and director for my Ltd company. I work in the film and tv production industry and we mostly all operate as loan out companies. This has saved the industry millions of pounds over the last several years as production companies do not have to employ us directly, saving them NI payments etc.

The most recent support from the government allows directors of limited companies such as mine to furlough themselves on 80% of their self assessment tax return. Which is usually the declared minimum tax payment with the rest of our profits paid in dividends. 

My friend for example operates his business in exactly the same way as me, does a very similar job and employs an accountant for company and self assessment tax returns. However his accountant processes his payroll monthly, whereas my accountant processes annually. It is the same amount of income declared, only his is divided by 12 and mine is not..!  Yet I am not eligible for furlough because of this inane difference in accounting procedure. But he is. 

I know there are thousands of people in my situation. Falling between the cracks. Much of the support offered has been fantastic (surprising for a Tory government) with Self Employed now mostly also being recognised.

Bectu, my union have been lobbying the chancellor/HMRC daily and my accountants have been fantastic with their advice and support, although all fruitless. 

Currently the only support offered to me is Universal Credit which I am not eligible for as my partner works full time as a teacher. And does not even come close to the cash needed to pay our mortgage and other commitments. Why should she be made to suffer my inability to pay my half of the bills.

Or a business interruption loan, which although interest free for 12 months, would still add the burden of debt onto my already struggling shoulders.  No thank you. No loan. Not when the rest of the workforce are being paid a grant. I would rather be bankrupt.

We are surviving for now on company profits from last year (mostly owed to HMRC as deferred corporation tax!!)

Please. Any help would be greatly appreciated, and keep up the good work. “

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