Asked by: Oliver Dowden (Conservative - Hertsmere)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what steps his Department has taken to support the hair and beauty sector.
Answered by Gareth Thomas - Parliamentary Under Secretary of State (Department for Business and Trade)
This Government recognises the significant economic and social value of the hair and beauty industry.
That is why we have committed to reforming business rates from 2026-27 with a permanently lower multiplier for retail, leisure and hospitality properties, including hair and beauty salons.
The Government will also protect the smallest businesses by increasing the Employment Allowance to £10,500, meaning that 865,000 employers will pay no National Insurance contributions (NICs) at all and employers will be able to employ up to four full-time workers on the National Living Wage and pay no employer NICs.
We will also transform the existing Apprenticeship Levy into a more flexible Growth and Skills Levy to support business and boost opportunity.
Asked by: Oliver Dowden (Conservative - Hertsmere)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, whether he has made an assessment with the Chancellor of the Exchequer and HMRC of the number of people currently practicing in the hair and beauty sector using disguised employment practices.
Answered by Justin Madders - Parliamentary Under Secretary of State (Department for Business and Trade)
The Department for Business and Trade does not hold this information. However, we are clear that disguised employment practices such as false self-employment are unacceptable. Employers should never seek to deny people their employment rights and avoid their own legal obligations by claiming someone is self-employed when in reality they are not.
The Government is committed to tackling false self-employment and HMRC will investigate evidence suggesting businesses have misclassified individuals for tax purposes. The Government has also set up a forum with the hair and beauty industry to support compliance in the sector.
Asked by: Oliver Dowden (Conservative - Hertsmere)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what assessment he has made of the potential impact of recent increases in the minimum wage for 18-21 year olds on the financial sustainability of the hair and beauty sector.
Answered by Justin Madders - Parliamentary Under Secretary of State (Department for Business and Trade)
We know this is a difficult time for businesses and workers alike, the Low Pay Commission are independent experts who conducts extensive consultation, analysis and evidence gathering when recommending the minimum wage rates.
We asked the LPC to make progress in extending the National Living Wage to more adults than ever before, by continuing to narrow the gap between the 18-20 rate and the NLW.
We do recognise that the 18-20 band are more vulnerable to unemployment, and therefore any impacts on employment - as well as incentives to remain in training or education - must be monitored carefully, as we proceed.