Loose Women panelists 'embroiled in pay row' and 'threatening to quit'

2023-02-04

Loose Women stars are ’embroiled in pay row’ and ‘threatening to quit’ in another ITV tax issue over their presenters being employees subject to income tax and National Insurance

It comes after Lorraine Kelly escaped a £1.2million tax bill because she is being hired as a ‘theatrical artist playing a persona’
It’s claimed that some of the presenters ‘have been told’ to go on a PAYE contract, increasing their 19 per cent corporation tax to 40 per cent

Loose Women’s panelists have reportedly become ’embroiled in a pay row’ and are ‘threatening to quit’ regarding issues with their tax payments.

ITV has stumbled across various issues with HMRC and the tax paid by their presenters in recent years as the governmental department argues they are effectively employees of the broadcaster.

This has included Lorraine Kelly, whose case went to court but she escaped the £1.2million tax bill because she is being hired as a ‘theatrical artist playing a persona’.

Instead of being an ITV employee, Lorraine was hired as an entertainer to perform ‘the role of a friendly, chatty and fun personality’.

And now according to The Mirror, the stars of Loose Women are now in a similar situation and have been ‘in talks’ for ‘several weeks’ and have said they will ‘walk away’ if the ‘situation is not fixed’.

Row: Loose Women’s panelists have reportedly become ’embroiled in a pay row’ and are ‘threatening to quit’ regarding issues with their tax payments

The publication reports that some of the presenters work on a freelance basis which would make them self-employed.

Someone can be classified as a freelancer, therefore self-employed, if they are responsible for the success or failure of their business in regards to profit and loss, they get to chose the hours they work, when they work and how they work and if they are free to work for other companies or take on other work.

A person is classed as employed if they have an agreement to provide personal work or services, they turn up to work even if they don’t want to, or if there is work for that person as long as the contract or agreement lasts.

A source told the publication: ‘They have all been self-employed for decades. Their accountants are saying no, they are self-employed… and are not going to go on PAYE.

‘They’re so strict about it and we’re talking about the big players.’

The Mirror also claims that some of the presenters ‘have been told’ to go on a PAYE contract, increasing their 19 per cent corporation tax to 40 per cent of their earnings between £50,271 and £150,000, as well as National Insurance.

MailOnline has contacted ITV for comment.

This time last year, Lorraine Kelly has addressed her 2019 tax tribunal case, saying: ‘I don’t want people to think I would do anything to get out of paying what I should be paying.’

Pay: ITV has stumbled across various issues with HMRC and the tax paid by their presenters in recent years as the governmental department argues they are effectively employees of the broadcaster

When is a person classified as in employment or self-employed?

Here we explain when a person is typically classed as a freelancer or an employee…

A person IS typically classed as employed if…

They have an agreement to provide personal work or services
They turn up to work even if they do not want to
There is work for that person as long as the contract or agreement lasts

A person is typically classed as self-employed if…

They are responsible for the success or failure of their business in regards to profit and loss
They get to chose the hours they work, when they work and how they work
If that person can hire or fire workers
That person is free to work for other companies or take on other work

The Scottish TV host made headlines when she won a £1.2million battle with HM Revenue & Customs (HMRC).

A judge said the Scottish star was a ‘theatrical artist’ who ‘presents a persona of herself’, agreeing she was not an ITV employee and instead was hired to perform ‘the role of a friendly, chatty and fun personality’.

Kelly, 62, told The Guardian she was happy to address the case ‘because I’ve never got my chance to put my side of the story across’.

She added: ‘I’m a firm believer in the NHS, a firm believer in better education and housing and looking after people who can’t help themselves.

‘I was brought up in a very working-class background where you pay your dues.’

Kelly’s on-screen break came in 1984 when she joined TV-am, and since then, she has become a familiar face on the small screen and has presented her hugely popular daily talk show Lorraine since 2010.

She told the paper she could ‘live with’ the mirth prompted by the ruling, which suggested she was essentially playing the role of Lorraine Kelly.

The HMRC had argued that Kelly is effectively an ITV employee and should be subject to income tax and National Insurance payments.

But the judge ruled she was hired for her services as an entertainer and was in control of both her working day and her show.

‘We were satisfied that Ms Kelly presents a persona of herself, she presents herself as a brand and that is the brand ITV sought when engaging her,’ the judge said.

‘All parts of the show are a performance, the act being to perform the role of a friendly, chatty and fun personality.’

Win: This has included Lorraine Kelly, whose case went to court but she escaped the £1.2million tax bill because she is being hired as a ‘theatrical artist playing a persona’. Instead of being an ITV employee, Lorraine was hired as an entertainer to perform ‘the role of a friendly, chatty and fun personality’

Talks: And now according to The Mirror , the stars of Loose Women are now in a similar situation and have been ‘in talks’ for ‘several weeks’ and have said they will ‘walk away’ if the ‘situation is not fixed’

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