Covid-19 and the self-employed - 18 months into the crisis

Blackburn, Robert ORCID: 0000-0002-6488-0284, Machin, Stephen and Ventura, Maria
(2021) Covid-19 and the self-employed - 18 months into the crisis. [Report]

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The fourth LSE-CEP survey of self-employment was undertaken in September 2021, following the previous three of May 2020, September 2020 and February 2021. • The economic fortunes of self-employed workers have been hit hard throughout the pandemic. They have seen some improvement since January 2021, although incomes and profits are still notably some way below pre-crisis levels. • Just below 30 per cent of self-employed still report financial difficulties with essential expenses. • Among the under 30s, 38 per cent report struggling to pay basic expenses compared to 27 per cent of over 30s. And 35 per cent of self-employed workers who are parents reported financial difficulties. • Applications for government support have dropped significantly. • A small group of self-employed have applied for all rounds of support. • Uncertainty around eligibility for government support has been high for the last 18 months and increased in 2021. This higher degree of uncertainty contributed to the decrease in claims. • After a year in which movements out of self-employment have prevailed, inflows have started to pick up. However, new entrants to self-mployment appear more precarious and show less resilience to adverse economic conditions than those already in self-employment. • Overall, the survey results show an unequal impact of the crisis on the self-employed, with the observed inequalities being connected to their demographics and business sector.

Item Type: Report
Divisions: Faculty of Humanities and Social Sciences > School of Management
Depositing User: Symplectic Admin
Date Deposited: 22 Nov 2021 08:14
Last Modified: 18 Jan 2023 21:24
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