IR35 Forum Administration Review shows IR35 administration has not improved
The IR35 Forum Administration Review published by HMRC shows contractors that, far from improving the administration of the tax legislation, its management has actually gone backwards. There is no evidence to show that measures introduced by HMRC in May 2012 to improve the administration of IR35 have had a positive impact. The little quantitative evidence presented by HMRC shows investigations taking longer and even fewer contractors using tools such as the contract review service. More...
Contractor body IPSE calls on government to improve infrastructure for iPros
The Association of Independent Professionals (iPros) and the Self-Employed (IPSE) has launched a blueprint that details what infrastructure is required to fully unleash the potential of the UK’s flexible knowledge-based workforce. “Access to the appropriate infrastructure is essential to the success of any economy and the self-employed economy is no different,” believes IPSE director of policy and external affairs, Simon McVicker. The report calls for boosting workhubs, broadband and mobile coverage. More...
Umbrella contractors misunderstood by trades unions leaders, says service provider
Umbrella company contractors are misunderstood by union leaders, according to employment services provider Parasol. Umbrella company contractors have been listed in the Trades Unions Council’s (TUC) top ten list of workers at most risk of national minimum wage exploitation. In response, Parasol founder and chief executive Rob Crossland says: “By naming workers employed by umbrella companies as a vulnerable group, the TUC has again shown a worrying lack of understanding of our sector. Professional and compliant umbrellas, such as Parasol, always adhere to employment law – including minimum wage legislation. More...
Elections and skills shortages: experts predict what contractors face during 2015
Contractors will play a major role in the May 2015 Election, but further tax avoidance measures are inevitable, although skills shortages will increase contractor demand. These are just some of the forecasts made by contracting sector experts in ContractorCalculator’s predictions for the New Year. “2015 offers contractors a wide range of opportunities and some very real threats,” notes ContractorCalculator CEO Dave Chaplin. “They will turns the threats into opportunities and exploit the opportunities, as they do so successfully on behalf of their clients in the UK’s public sector and businesses.” More...
Contractor hiring across core economy sustained, despite yearend slowdown
Contractor hiring was sustained across the core areas of the economy during December 2014, despite slowing growth across manufacturing, construction and the services sector. This is according to the latest set of Purchasing Managers’ Indexes (PMIs) from Markit and the Chartered Institute of Purchasing and Supply (CIPS).
- The UK Manufacturing PMI said that “UK manufacturing employment rose for the twentieth month in a row” as clients sought to process backlogs of orders. This was against a backdrop of solid, if slowing, manufacturing activity growth during December
- Strong contract and job creation continued during December, most notably in the residential construction sector that saw the sharpest increase in activity. Less positive for construction and engineering contractors from the UK Construction PMI was the news that the civil engineering showed a slight contraction, although this is forecast to reverse in 2015
- The UK Services PMI showed that growth slowed in the sector during December, but “payroll numbers continued to rise at a marked pace”. Skills shortages are emerging as backlogs of work grow due to too few suitably skilled candidates being available.
Contractors with STEM and data skills likely to be most in demand during 2015
Contractors with STEM – science, technology, engineering and mathematics – and data skills could find themselves in greatest demand during 2015. According to an analysis by LinkedIn of the most in-demand skills of 2014 published on ONREC, these skills dominated hiring across its 330m member network last year and are likely to continue to dominate in 2015. Statistical analysis and data mining, middleware and software integration and business intelligence were 2014’s three top skills. More...
Financial and IT contractors saw 2014 contract and job creation surge by 18%
Financial and accounting and IT contractors experienced a surge in job creation in London’s financial centre during 2014. Figures from financial and professional services recruiter Astbury Marsden show that 33,063 new City contracts and jobs were created during 2014, up from 27,915 new roles created during 2013, and showing an increase of 18%. “The City jobs market gathered strong momentum in 2014, with recruitment activity finally catching up with the recovery seen over the last few years in the wider UK jobs market,” explains Astbury Marsden managing director Adam Jackson. More...
Contractors faced and overcame raft of challenges during 2014
Contractors faced challenges that included increased IR35 enforcement and anti-tax-avoidance activity, a House of Lords’ inquiry and, at the end of the year, new consultations on employment status and umbrella company expenses. In contrast, positives included the abolition of the business entity tests (BETs), a surge of new contractors entering the market, increasing the voice that contractors have, and steadily rising contractor demand. More...