Recent research by the Guardian has found that around 800 BBC TV and radio presenters face scrutiny over their employment status after the state broadcaster was accused of dodging millions in National Insurance Contributions (NICs).
Around 300 presenters, who were hired through Personal Service Companies (PSCs), accused the BBC of forcing them to establish special tax vehicles, which resulted in a loss of holiday and sick pay and pension contributions.
The National Audit Office (NAO) and HM Revenue & Customs (HMRC) have now launched around 100 investigations into PSCs linked to the BBC.
In a statement, the NAO has said that PSCs “are a legitimate way of contracting for services and are commonplace across many sectors”. However, they can cause less tax to flow to the Treasury as a result of individuals not paying what they owe.
The investigation will explore why problems have surfaced now and the scale to which they have risen, how the BBC has used PSCs, and the relationship between the BBC and HMRC.
The news comes after HMRC won a landmark case in February this year, which resulted in more than 100 BBC presenters, including Radio 4’s Money Box presenter Paul Lewis, facing substantial tax bills.
A spokeswoman for the Public Accounts Committee (PAC) said that the Committee had raised concerns over the BBC’s use of PSCs six years ago, adding that it is worrying that the tax mess still has not been untangled.
She added that, with around 100 investigations into PSCs still outstanding, the BBC and HMRC must work together to ensure certainty for freelancers working for the BBC, particularly for those freelancers who have been left in desperate circumstances.
