‘Perfect storm’ may see finish of salon apprenticeships | EUROtoday

Salon house owners are warning they may not have the ability to tackle any new apprentices inside two years resulting from monetary pressures.

The British Hair Consortium, which represents 50,000 hairdressing professionals, is looking on the federal government to make modifications to how they’re taxed, saying the present system poses an “existential crisis”.

Apprentices have informed BBC Newsbeat the schemes are an vital alternative for individuals who do not need to pursue additional schooling.

The authorities has been approached for remark however didn’t reply.

Salons pay VAT at 20% like most companies however the British Hair Consortium say as a result of the work they do is so labour intensive versus promoting merchandise, they’ve much less of an opportunity to make again these prices.

So to maintain prices low, it says an rising variety of salons are opting to hire chairs as an alternative of using stylists to keep away from paying the tax.

A report by CBI Economics discovered that’s prone to have a knock-on impact on alternatives for apprentices.

It estimates that by 2027 there “may be no new apprenticeships offered and direct employment could plummet by 93% by 2030”.

For 22-year-old apprentice Alex Ritchie, “it’s quite scary knowing that people won’t get that opportunity that we get”.

She’s coaching in Darlington, County Durham, and desires of getting her personal salon in the future however worries that with out apprentices, the business will actually battle.

“You can’t run a salon without having apprentices,” she says.

“They are your main support when you’re doing clients. It will have a massive impact on the amount of salons and how many clients they can take.”

Jezz Ellis is head of operations for Saks, a series of salons, and says that except issues change, hairdressing apprenticeships will turn into much less enticing.

Salons are going through a “perfect storm” he says, which can influence what number of apprentices they’ll afford to coach.

“You’ve got the VAT issue which has always been difficult.”

But there may be additionally the rising situation of insecure or “disguised” employment ensuing from fewer workers jobs being supplied.

This means whereas they may work to a salon’s guidelines and be handled like an worker, they’re really self-employed so miss out on advantages like sick pay, maternity pay and pensions.

“And with National Insurance going up and a national minimum wage increaseit’s making it very difficult for those salons to increase their prices to meet the extra costs.

“All of these issues added collectively is simply crippling numerous salons,” Jezz says.

For Adam Hussain, who’s working towards his level two apprenticeship in hairdressing, the benefits are big for people like him.

“Without this apprenticeship, I would not be the place I’m at present,” he says. “I’d in all probability be doing God is aware of what.

“Apprenticeships are really good – you get paid to learn, you’re learning on the job, it’s a very hands-on career.”

The British Hair Consortium needs the federal government to behave rapidly forward of the spring forecast on 26 March, the place the Chancellor Rachel Reeves will lay out financial plans for the longer term.

Although the federal government didn’t reply to Newsbeat’s request for remark, the Department for Education has beforehand stated it was time apprenticeships had been taken severely.

Last week it introduced modifications which can enable employers to determine whether or not or not a Maths and English qualification is required to use for some apprenticeships.

Listen to Newsbeat stay at 12:45 and 17:45 weekdays – or hear again right here.