Addressing inclusivity in the spatial and social impacts of COVID-19 on the self-employed in the UK

Lead Research Organisation: University of Southampton
Department Name: Sch of Geography & Environmental Sci

Abstract

The self-employed are a particularly vulnerable group in the current coronavirus crisis. In contrast to elsewhere, the UK has seen significant growth in self-employment, reaching 15% of the workforce before the coronavirus outbreak. The self-employed are predominant in those sectors most hit by shutdown and social distancing measures. This disproportionate impact on self-employment is likely to have a longer-term effect on entrepreneurial activity and regional economic performance in the UK if current policies are not able to support groups and areas that are particularly hit. Self-employment has specific social and spatial features which means that the crisis will impact on specific social groups and areas in the UK differently. Women and some ethnic groups cluster in the most affected sectors, and some regions, particularly in the North and Scotland, have large shares of self-employment in accommodation and food services. Although generous to those eligible, government support (SEISS) excludes some significant groups.

This programme of research will investigate the social and spatial consequences of the coronavirus crisis on the self-employed in the UK. The project comprises two elements. First will be extensive secondary analysis of nationally representative UK survey data. This will allow detailed analysis of self-employment before, during and after the lockdown, including exits from self-employment and the ability of the self-employed to maintain earnings levels. A particular focus will be on gender as early analysis of the impact of this crisis suggested that women are particularly affected. The secondary data analysis we will be augmented with narratives from the self-employed. For this purpose we will interview self-employed women and men in different regions in the UK.

The second element is designed to generate expert evidence for the UK as a whole through engagement with nationally representative bodies such as the Federation of Small Businesses (FSB) and the Association of Independent Professional and Self-Employed (IPSE). The purpose of both elements is to support recovery strategy proposals, tailored to the particular context of key UK Industrial Strategy stakeholders - City Regions, Local Enterprise Partnerships and Devolved Administrations.
 
Description We have published self-employment figures for the UK by region and by socio-demographic characteristics of the self-employed to provide an evidence base for policy audiences for what happened with self-employment during the pandemic. We have shown that the number of self-employed persons has dramatically decreased in the UK as a consequence of the Coronavirus crisis.

We have compiled evidence showing that self-employed women are harder hit by the crisis than self-employed men in terms of hours worked and earnings - and that this is related to self-employed women's unequal share of domestic work. This evidence is important as the ONS published on changes in self-employment highlighting the impact on self-employed men who were more likely to change their employment status to employee at the beginning of the pandemic (directors and partners) and were more likely to leave self-employment. Focussing on hours worked instead highlights the disproportionate impact on self-employed women which can only be understood in the context of their household.

We have further shown that spatial patterns of self-employment have experienced significant changes to previous trends which are related with local labour market dynamics. The ONS has produced some descriptive findings on the geography of self-employment. Our findings instead show what the drivers of spatial differentiation in impact were. Overall, spatial patterns have remained very unequal and local areas have remained at the top of the self-employment league table. However, we have shown that there has been substantial demographic change in self-employment.
Exploitation Route The Federation of Small Businesses is very interested in our findings. It may help them in designing their policy engagement. Specifically, our findings on regional differences may help them in defining regional and local approaches to the support of small businesses and the self-employed.

Our regional and local findings suggests that integrative local approaches are needed in future responses to shocks.
Sectors Agriculture, Food and Drink,Creative Economy,Digital/Communication/Information Technologies (including Software),Leisure Activities, including Sports, Recreation and Tourism

URL http://workfutures.southampton.ac.uk/projects/addressing-inclusivity-in-the-spatial-and-social-impacts-of-covid-19-on-the-self-employed-in-the-uk/
 
Description The Federation of Small Businesses Scotland requested more information on our research and we will continue our collaboration with them. The FSB Scotland has a particular interest in hospitality businesses. In addition, Nesta asked for a bespoke analysis of the creative sector, that is a sector with a high proportion of self-employment which has experienced a high negative impact of lockdowns.
First Year Of Impact 2021
Sector Agriculture, Food and Drink,Creative Economy
Impact Types Economic,Policy & public services

 
Title Addressing Inclusivity in the Spatial and Social Impacts of COVID-19 on the Self-employed in the UK, 2020-2021. [Data Collection]. 
Description The project investigated the social and spatial consequences of the coronavirus crisis on the self- employed in the UK. The project comprises two elements. First is an extensive secondary analysis of nationally representative UK survey data. This allowed detailed analysis of self-employment before, during and after the lockdown, including exits from self-employment and the ability of the self-employed to maintain earnings levels. A particular focus was on gender as early analysis of the impact of this crisis suggested that women are particularly affected. The secondary data analysis was augmented with narratives from self-employed women and men in different regions in the UK. 30 semi-structured interviews were conducted with self-employed interviews. Of these, 15 were interviewed in November 2020. The remaining 15 interviews were conducted in February/March 2021 with individuals different to those in the first study period. The sample was stratified to cover a wide range of self-employed individuals by gender, age, eligibility for the Self-employment Income Support Scheme, sectors, education and region. Interviews were conducted online. Topics discussed included ease of access to government support, to bank finance and other sources of help, coping and recovery strategies and effectiveness of policy interventions. Interviews lasted about 30 minutes each. 
Type Of Material Database/Collection of data 
Year Produced 2022 
Provided To Others? Yes  
Impact 37 data file downloads, 50 views (on 13 March 2023) 
URL https://reshare.ukdataservice.ac.uk/855660/
 
Description Association of Independent Professionals and the Self Employed (IPSE) 
Organisation Association of Independent Professionals and the Self Employed (IPSE)
Country United Kingdom 
Sector Charity/Non Profit 
PI Contribution We provide them timely new research findings.
Collaborator Contribution IPSE is member of our expert panel. They would provide their London-based premises for project events, if this would be possible in 2021/2022. They comment on our findings in written format and during online meetings which is helpful for defining new research directions/demands. They support the dissemination of our findings.
Impact IPSE is the biggest self-employed think tank in the UK. They have direct channels to policy.
Start Year 2021
 
Description Conference presentation 
Form Of Engagement Activity A talk or presentation
Part Of Official Scheme? No
Geographic Reach National
Primary Audience Other audiences
Results and Impact Paper presentation at the ISBE annual conference on: Self-employment and Financial Insecurity during the COVID-19 Pandemic.
Year(s) Of Engagement Activity 2022
 
Description Conference presentation 
Form Of Engagement Activity A talk or presentation
Part Of Official Scheme? No
Geographic Reach National
Primary Audience Professional Practitioners
Results and Impact Paper presentation at the ISBE Annual Conference 2021 on: Doing it All: The impact of COVID-19 on the unpaid domestic and caring work
of self-employed women. The paper has been shortlisted for the best impact award. We have since further developed the paper which is now under review in a peer-reviewed journal.
Year(s) Of Engagement Activity 2021
 
Description Conference presentation 
Form Of Engagement Activity A talk or presentation
Part Of Official Scheme? No
Geographic Reach National
Primary Audience Other audiences
Results and Impact Conference presentation at the ISBE annual conference on: Balancing Precarity and Resilience: The Experience of the Self-Employment During the COVID Pandemic. The paper presentation was based on interviews which have been archived and made accessible to the research community.
Year(s) Of Engagement Activity 2021
 
Description Expert panel 
Form Of Engagement Activity A formal working group, expert panel or dialogue
Part Of Official Scheme? No
Geographic Reach International
Primary Audience Industry/Business
Results and Impact We set up our project expert panel soon after the start of the project. Because of distancing restrictions due to COVID-19 we designed our engagement using the virtual platform MS Teams. We continuously communicate with our panel members using this platform. We inform them about new policy briefs and ask specific questions for their feedback. In December 2020 we first met for an online live session where we presented new findings and an extended discussion on interpretations and policy implications of our findings.
Year(s) Of Engagement Activity 2020
 
Description Participation in BEIS/ESRC Enterprise Research Centre round table series June-July 2021 
Form Of Engagement Activity A formal working group, expert panel or dialogue
Part Of Official Scheme? No
Geographic Reach National
Primary Audience Policymakers/politicians
Results and Impact Roundtable discussion with BEIS officials - provision of expert advice
Year(s) Of Engagement Activity 2021
 
Description Participation in Expert Panel on self-employment during Covid, established for ESRC Addressing Inclusivity project 
Form Of Engagement Activity A formal working group, expert panel or dialogue
Part Of Official Scheme? No
Geographic Reach International
Primary Audience Professional Practitioners
Results and Impact Occasional online meetings and moderating on-line discussion forum to provide project guidance, advice and triangulation of findings from ESRC/UKRI emergency Covid impact project.
Year(s) Of Engagement Activity 2020,2021
 
Description Participation in Self-employment in Wales project advisory group for Bevan Foundation 
Form Of Engagement Activity A formal working group, expert panel or dialogue
Part Of Official Scheme? No
Geographic Reach Regional
Primary Audience Third sector organisations
Results and Impact Expert advisory group across academics, policy and professionals to advise on development of third sector research organisation research programme
Year(s) Of Engagement Activity 2021
 
Description Participation in an online "roundtable" event on self-employment in Wales, organised by the Bevan Foundation 
Form Of Engagement Activity A formal working group, expert panel or dialogue
Part Of Official Scheme? No
Geographic Reach Regional
Primary Audience Policymakers/politicians
Results and Impact Online discussion forum on June 16th 2022 organised by the Bevan Foundation (a leading Welsh policy think tank) to discuss recent work undertaken by the organization on self-employment in Wales.
Year(s) Of Engagement Activity 2022
 
Description Presentation to Senedd/Welsh Parliament Cross Party Group on self-employment in Wales 
Form Of Engagement Activity A formal working group, expert panel or dialogue
Part Of Official Scheme? No
Geographic Reach National
Primary Audience Policymakers/politicians
Results and Impact Invited presentation to a session, held on 15 Feb 2023, of the Senedd Cross Party Group on Co-operatives and Mutuals focused on self-employment in Wales and the prospects for mutual solutions to address low earnings and poverty in self-employment. Open audience from business and third sectors, policy officials, as well as Members of Senedd
Year(s) Of Engagement Activity 2023
 
Description Regional impact of the pandemic on self-employment 
Form Of Engagement Activity Engagement focused website, blog or social media channel
Part Of Official Scheme? No
Geographic Reach National
Primary Audience Public/other audiences
Results and Impact Blog post for the Economics Observatory
Year(s) Of Engagement Activity 2022
URL https://www.economicsobservatory.com/how-has-covid-19-affected-self-employment-in-uk-regions
 
Description conference presentation 
Form Of Engagement Activity A talk or presentation
Part Of Official Scheme? No
Geographic Reach International
Primary Audience Other audiences
Results and Impact Presentation on Changes in self-employment in UK regions during the COVID-19 pandemic: implications for regional resilience at the RGS-IBG International Conference 2021.
Contribution to the international debate on economic regional resilience.
Year(s) Of Engagement Activity 2021