Oil and gas contractors offer win-win alternative to headcount cuts: DNV GL
Oil and gas contractors could be an effective solution for operators and service firms faced with the dilemma of cutting costs whilst retaining capabilities for future development. This is according to a recent study by DNV GL which warns that many firms are placing their futures at risk by responding to immediate cost pressures by slashing headcounts. For ContractorCalculator CEO Dave Chaplin, contractors are the perfect alternative solution: “Hiring contractors can ensure that oil and gas companies reduce costs by consistently adapting the size of their workforce to align with demand, ensuring no unnecessary overheads are incurred.” More...
Contractor prospects affected by Brexit fears, whilst skill gaps widen
Contractors should aim for long-term contracts before Brexit fears cause a potential market slow-down over the summer. This is the warning in the Recruitment and Employment Confederation’s (REC) Report on Jobs for January 2016 from chief executive Kevin Green, who identifies the European Union (EU) referendum as a factor which may create uncertainty in the jobs market. Meanwhile, contractor demand has continued its long-term growth trend, albeit at a moderated pace, whilst contractor agency billings dipped to their slowest rate of growth in four months, widening the deficit between supply and demand. More...
Engineering contractors benefitting from rising public sector demand
Contractors in the engineering sector are finding increasing demand for their services from the public sector, which is struggling to cope with high volumes of construction work. This is according to recent analysis of its database by giant group, which also highlights that the amount of engineering contractors who would accept a permanent position has continued to decline. “The data from our analysis highlights that the public sector simply cannot cope with demand and is having to rely on the skills of specialist contractors to get engineering projects and maintenance programmes over the line,” notes giant group managing director Matthew Brown. More...
HMRC draws £2bn from contractors using tax avoidance schemes through APNs
Contractors who have been involved in tax avoidance schemes have now contributed to a £2bn tax yield for HMRC, as a result of its accelerated payments notices (APNs) regime. HMRC has issued 41,000 APNs since the rule was introduced in 2014, and has won 80% of cases that go to court. Any contractor issued with an APN is obliged to pay the disputed tax within 90 days of receipt whilst their tax affairs are being resolved, with no right to appeal. HMRC expects APNs to bring in £5bn in recovered tax for the Exchequer by March 2020. More...
Contractor demand in Ireland dented by increased client market confidence
Contractor demand in Ireland saw a significant rise in January, although returning market confidence saw an increasing number of clients favour permanent hires over contingent staff. This is according to the latest Irish Employment Monitor from Morgan McKinley, which reports a 37% month-on-month increase in demand for professionals, equalling the total amount of vacancies seen in January 2015. Contractors in the engineering sector look set to see exceptional demand for their services, as the report points towards a number of firms entering the Irish market in search of candidates with start-up experience. More...
Contractors can pay benefits in kind tax throughout year, HMRC guidance explains
Contractors who receive benefits in kind through their limited companies will have the option to pay tax on their benefits throughout the year via PAYE, beginning next tax year. Currently, contractors who receive benefits in kind have to announce them on a P11D form at the end of each tax year, but those who register before 6 April 2016 will have their tax codes amended. HMRC’s latest guidance explains that monthly sums, together equating to the total value of the benefits, will then be added to the contractors’ taxable earnings each payday. More...
German contractor legislative changes to be lobbied by British Embassy
The British Embassy is to join the Association of Professional Staffing Companies (APSCo) in applying pressure on German authorities to reconsider proposed changes to legislation impacting contractors. If the legislative changes go through, as of January 2017, contractors who are ’leased’ to a German firm will be classified as employees after 18 months. “We are incredibly pleased that the British Embassy will be supporting our discussions with the German government,” notes APSCo Head of External Relations Samantha Hurley. “We will engage with German authorities to voice the opinions and support the best interests of the international recruitment profession.” More...
Contractors can contribute to oil and gas sector revival as outlook worsens
Oil and gas contractors could play a pivotal role in the industry’s recovery, after Oil & Gas UK’s Business Sentiment Index revealed optimism within the sector to be at an all-time low. On a -50/+50 scale, companies returned a score of -32 when asked about their business prospects. However, significant progress was reported by firms with regards to reducing costs, an area where the ad-hoc nature of the contractor workforce can contribute. “Taking a co-operative approach to implementing efficiency measures will help the UK oil and gas industry weather the current downturn,” notes Oil & Gas UK operations director Oonagh Werngren. More...
IT contractor demand to benefit from NHS IT investment
IT contractor demand could be set to benefit from a £4.2bn government investment in NHS IT. ComputerWeekly reports that, whilst much of the money will be going towards new technology, health secretary Jeremy Hunt has flagged up cyber-security as a main priority. The government has recently underlined its intention to reduce dependence on contractors within the public sector, after a National Audit Office (NAO) report revealed contractor spend to have increased by £400-£600m since 2012. However, with worsening skills shortages, and increasing numbers of IT professionals making the move into contracting, contractors can expect to see further demand for their services from the NHS. More...
Contractor tax returns under threat from cyber-attacks
Contractors’ self-assessment tax returns are under threat from cyber-attackers, who are hacking into taxpayer records in an attempt to make fraudulent or incorrect tax repayment claims worth hundreds of millions of pounds, Citywire reports. HMRC has conceded that its records department is vulnerable to attack, having fended off 17,000 attempts to fraudulently access self-assessment records worth almost £100m. However, many attempts are slipping through the net, with a major firm of accountants claiming that 12 of its clients have recently been targeted. More...