BBC to review pay structure

Concern over tax payments.

MPs heard at the House of Commons Public Accounts Committee yesterday that 148 of its 467 TV and radio presenters were paid through personal service companies (PSCs) firms rather than on the corporation’s payroll.

Wages paid through PSCs, which are legal, do not have income tax and national insurance contributions deducted at source, allowing tax dues to be reduced.

The PAC also heard claims from an unnamed presented that he was "bullied” into using a PSC arrangement for his pay.

The BBC's chief financial officer, Zarin Patel, said yesterday at the Committee hearing that due to high levels of public concern over the use of PSCs to employ some presenters, it would review whether this was appropriate for the broadcaster.

At least 41 BBC "off payroll" freelancers earning £100,000 or more last year did not pay tax at source, with five of these earning more than £150,000 per year, according to the corporation’s figures following a freedom of information request by Conservative MP David Mowat.

"With the amount of public concern expressed today, I think I have to say yes, we will review it, and we will review it with real seriousness," Patel told the House of Commons public accounts committee.

"But can I emphasise that none of this is designed to avoid tax. That is not why we use an extensive number of freelance contracts at the BBC."

This article originally appeared in economia.

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This is a news story from economia.

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Will Jeremy Corbyn stand down if Labour loses the general election?

Defeat at the polls might not be the end of Corbyn’s leadership.

The latest polls suggest that Labour is headed for heavy defeat in the June general election. Usually a general election loss would be the trigger for a leader to quit: Michael Foot, Gordon Brown and Ed Miliband all stood down after their first defeat, although Neil Kinnock saw out two losses before resigning in 1992.

It’s possible, if unlikely, that Corbyn could become prime minister. If that prospect doesn’t materialise, however, the question is: will Corbyn follow the majority of his predecessors and resign, or will he hang on in office?

Will Corbyn stand down? The rules

There is no formal process for the parliamentary Labour party to oust its leader, as it discovered in the 2016 leadership challenge. Even after a majority of his MPs had voted no confidence in him, Corbyn stayed on, ultimately winning his second leadership contest after it was decided that the current leader should be automatically included on the ballot.

This year’s conference will vote on to reform the leadership selection process that would make it easier for a left-wing candidate to get on the ballot (nicknamed the “McDonnell amendment” by centrists): Corbyn could be waiting for this motion to pass before he resigns.

Will Corbyn stand down? The membership

Corbyn’s support in the membership is still strong. Without an equally compelling candidate to put before the party, Corbyn’s opponents in the PLP are unlikely to initiate another leadership battle they’re likely to lose.

That said, a general election loss could change that. Polling from March suggests that half of Labour members wanted Corbyn to stand down either immediately or before the general election.

Will Corbyn stand down? The rumours

Sources close to Corbyn have said that he might not stand down, even if he leads Labour to a crushing defeat this June. They mention Kinnock’s survival after the 1987 general election as a precedent (although at the 1987 election, Labour did gain seats).

Will Corbyn stand down? The verdict

Given his struggles to manage his own MPs and the example of other leaders, it would be remarkable if Corbyn did not stand down should Labour lose the general election. However, staying on after a vote of no-confidence in 2016 was also remarkable, and the mooted changes to the leadership election process give him a reason to hold on until September in order to secure a left-wing succession.

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