Challenges in the hair and beauty sector

That this House is concerned by the challenges facing the hair and beauty industry due to the labour-intensive nature of the sector and structural issues within the VAT system, challenges to the employer model, and the lingering impact of the covid-19 pandemic; acknowledges the year-round demand for these services and the value they bring to high streets; notes the British Hair Consortium report which estimates a loss of £2.4 billion in VAT receipts since 2009; recognises the fast growth of the self-employed model within the sector that is projected to rise to 76% by 2030 and is largely devoid of the employment rights that come with being an employee; expresses concern at the decline of apprenticeships in the sector and the resulting loss in lifetime productivity benefits; calls on the Government to monitor disguised employment and ensure HMRC takes appropriate action to ensure businesses operate on a level playing field; and commends the efforts of hair and beauty businesses across Eastleigh and Chandler’s Ford, including Elite Hair Salon and Jemma George Hair Artistry.