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Appeal to chancellor as workers fall through net

Stephen Flynn
Stephen Flynn

Concerns have been raised that hundreds of north-east workers are falling through the cracks of the financial support being offered by Westminster.

Following the imposition of lockdown on the country at the end of last month, Chancellor Rishi Sunak announced a ÂŁ330 billion bailout package aimed to keep the country on its feet.

This included a job retention scheme whereby the chancellor pledged to pay 80% of wages for firms forced to furlough staff during the coronavirus pandemic.

However many believe not enough has been done to protect a number of workers who have fallen through the net and do not qualify for any financial support.

Following dozens of pleas from north-east residents, SNP Aberdeen South MP Stephen Flynn has written to Mr Sunak to request he reconsiders some of the guidelines in place.

One of the main concerns is for company directors of small limited firms.

Mr Flynn said: “I have been inundated with correspondence from directors across Aberdeen South who do not qualify for the government’s self-employed support scheme.

“Many directors often claim no salary and instead receive a portion of profit when a business is profitable. It is a source of great disdain and concern that an arbitrary line has been drawn which doesn’t offer any support to an individual who has earned over £50,000 in profit.

“Effectively, this means that many entrepreneurs and business owners in Aberdeen will receive no government support, yet a salaried staff member in a bank in receipt of £200,000 each year will receive 80% up to the first £2,500.

“This is neither fair nor reasonable – everyone still has bills to pay and families to support.”

Mr Flynn said he was urging the chancellor to extend the current scheme to mirror that which has been put in place for PAYE staff.

He said in his letter: “You have shown flexibility so far, so I hope you can make further changes to ensure a fair system of support.”