Financial contracting market grows 53% over 12 months
Contract vacancies in the UK’s financial sector have grown by 53% over the last 12 months according to data from the Association of Professional Staffing Organisations (APSCo). Between February and March 2014, the contract vacancy rate has grown at a more modest 4%, but APSCo believes the slowing growth is due to a shortage of skilled contractors that “risks stalling sector growth”. More...
Boost to financial IT contractor prospects as financial roles grow by 32%
Financial IT contractor prospects are looking positive as the number of financial roles advertised in the UK has grown by 32% since the beginning of the year. Jobs board Adzuna’s analysis of the UK financial sector also shows that average salaries are double those of the wider UK economy. This boost to the health of the financial sector is great news for financial IT contractors, who have been under pressure from enforced rate decreases. As the second largest consumer of IT contractor services, the fortunes of the financial sector impact heavily, and in this case positively, on contractor prospects. More...
Part-time contractors and freelancers targeted in new HMRC anti-avoidance campaign
Contractors and freelancers working part-time and who are also in employment are being targeted by a new HMRC anti-avoidance campaign. HMRC says its ‘second incomes’ campaign “gives you the chance to bring your tax affairs up to date if you’re employed and have additional income that’s not taxed”. Services such as consultancy, training and event management have been specifically mentioned. Taxpayers with second freelance incomes will benefit from better settlement terms if they make a voluntary disclosure within the next four months. More...
Oil and gas contractors in the supply chain contribute £35bn to the UK economy
Oil and gas contractors working in the sector supply chain play a role in generating £35bn each year for the UK economy, and the sector supports over 200,000 contracts and jobs. An Oil and Gas UK-commissioned report authored by EY shows that there are over 3,000 companies actively involved in the supply chain, and many of these are contractor clients. There have been over 21,000 new contracts and jobs generated since 2008, suggesting the sector is a good target for oil and gas and engineering contractors. More...
Oil and gas contracting activity forecast to increase during Q2 2014
Oil and gas contractors should see an increasing number of exploration and production contracts in the North Sea as activity starts to increase and the weather improves. Deloitte’s latest report on the UK Continental Shelf (UKCS) shows that activity was muted in the first quarter, with ongoing operator concerns over costs. However, activity is forecast to continue at a “steady low” throughout 2014, meaning the contract market is likely to remain stable. More...
False Self-Employment rules are unfair and could affect limited company contractors
Recruitment agencies don’t believe that the tests required by the new False Self-Employment legislation can be fairly applied. This was among the conclusions of a seminar run by law firm Lawspeed, at which HMRC representatives were present. The main concerns were over how agencies are supposed to prove that there is no supervision, direction or control by the client over the worker. The seminar also highlighted that although in theory limited company contractors should not be affected, “HMRC noted that there are circumstances in which a company could pay someone on a basis that could result in the agency being liable” for income tax and National Insurance Contributions. More...
Technology sector contractors benefitting from hiring outpacing the UK economy
Contractors working in the technology sector are benefitting from hiring and business activity that is outpacing the rest of the UK economy. The latest KPMG/Markit Tech Monitor UK report shows that “nearly half of tech companies expect to employ additional staff over the next 12 months”. Business growth in the sector remains close to the ten-year high seen at the end of 2013. “The latest survey suggests that the tech sector again outperformed the UK economy in terms of job creation, reflecting widespread optimism that workloads will continue to expand over the months ahead,” notes Markit senior economist Tim Moore. More...
IT contractors “critical” for business operations, say North American IT leaders
IT contractors are “critical to the success of their organisations’ business operations”, according to 69% of IT leaders across North America. Staffing Industry Analysts report that a survey by US IT staffing firm TEKsystems also found that by 2018, 35% of IT leaders believe contractors could form up to 25% of their workforce. “If there is one thing that IT professionals and their bosses can agree on, it is that the use of contingent workers is not going away,” says TEKsystems market research manager Jason Hayman. “In fact, as organisations increasingly encounter the need for more specialised skill sets, the use of contingent workers will only increase.” More...
Net closing in on contractors with undisclosed assets held offshore
Contractors avoiding or evading tax with undisclosed assets in overseas bank accounts are increasingly under pressure. Out-Law.com reports that the G5 largest European economies – the UK, Germany, France, Italy and Spain – have agreed to start automatic tax information sharing from 2017. A total of 44 countries have committed to join the tax evasion and avoidance arrangement. More...
Contractors should renew tax credits – or their protective claim – well before end July
Contractors are being urged by HMRC to renew any tax credits they are entitled to well before the 31 July 2013 deadline, to avoid a last minute rush. Although most contractors’ incomes are well above the thresholds to receive benefits, it is recommended that those with families maintain their ‘protective claim’ in case their circumstances change drastically and unexpectedly. If their income falls, tax credits could be worth up to £10,000 per year. More...