Contractor wins partial victory in IR35 tribunal ruling: JLJ Services case
IT contractor John Spencer’s company JLJ Services has won a partial IR35 victory in its five-year battle against HMRC. Tribunal Judge Howard Nolan ruled that only the final four years of a seven-year contract with client Allianz were inside IR35, which is likely to significantly cut the contractor’s £141,000 tax bill. Although retired contractor Spencer contends that key evidence was not considered in the ruling, his impending retirement means he has no plans to appeal; but he has “set the record straight” in an exclusive interview with ContractorCalculator. More…
IT and engineering contracting doing well in ‘two-speed’ UK labour market
IT and engineering contractors both saw increases in online demand during November, according to the latest Monster Employment Index (MEI). Both sectors have also experienced significant year-on-year demand: 25% and 32% growth respectively since November 2010. Other sectors are faring badly, with the public sector down 11% year-on-year and education down 16% year-on-year. This suggests a two-speed UK labour market is emerging, with core contracting disciplines performing well. More…
Contractor service provider JSA joins Freelancer and Contractor Services Association
Contractors seeking compliant service providers have greater choice following the Freelancer and Contractor Services Association’s acceptance of JSA Group’s membership application. Like all other members, the contractor accountant and umbrella solutions provider had to subject itself to the Code of Conduct.
New contract rate and skills demand tool for IT contractors
IT contractors can check average day rates and demand for their skills using a new online tool published by The IT Job Board. The free-to-use IT Salary Monitor enables contractors to search for the number of roles and average daily contract rate according to skill and UK region. London dominates the contract market, with IT contractors in banking earning an average of £500 a day. SQL is the most sought-after skill. IT Job Board Managing Director Alexandra Farrell says: “Clearly SQL is a core skill as we move into 2012, and we would anticipate seeing increasing numbers of IT professionals either retraining in this area, or looking to improve on existing skills.” More…
IT contractor rate cuts better managed by banks fearing talent drain backlash
IT contractor rate cuts are being better managed by banks than previously, according to IT recruiter Rob Booth, MD of contract staffing firm Genesis. Booth told Recruiter that clients have learned to manage contractor rate cuts more professionally or they face losing their best contractors when the market turns. According to Booth, blanket rate cuts are now less common as clients turn to other cost-cutting measures first: “There are some organisations that do blanket cuts – but that is not happening so much anymore. What we’ve seen them do is limit the number of days [contractors] can work and enforce compulsory leave.”
Contractors with a “‘refuse to lose’ attitude will find work”
Contractors between contracts should not be put off by doom and gloom in the UK’s labour market. According to Manpower UK Managing Director Mark Cahill, “there are still hundreds of thousands of vacancies out there” and “those with a ‘refuse to lose’ attitude will find work”. Cahill’s words accompanied the latest Manpower Employment Outlook Survey for the first quarter of 2012, which itself reported that the UK labour market was “on the edge of a bleak midwinter”. However the good news for contractors is that, according to Cahill, clients “continue to look for skilled and motivated candidates who show a real desire and determination to work”. More…
Workers continue to choose contracting over unemployment
Contracting and freelancing clearly beats unemployment for many workers as, despite yet another increase in UK unemployment in the quarter to October 2011, the underlying data reveals a 4.3% increase in the number of self-employed. The Office for National Statistics’ December 2011 report paints a bleak picture of the health of the UK labour market. But a two-speed labour market is emerging and contractors continue, for now, to be in the fast lane. More…
Oil and gas contractors praised for safety record, but more work to be done says DECC
UK oil and gas contractors operate one of the safest and most environmentally friendly regimes in the world, but a recent report identifies that there are still improvements to make. Offshore oil and gas in the UK: an independent review of the regulatory regime praises the strengths of the UK’s offshore oil and gas safety and environmental protection regime, but identified several key ways in which it could be further improved. The improvements in safety and environmental management systems and well safety technology could lead to new contracts for oil and gas contractors. More…
Contractors set to benefit from £125m fund to prevent aerospace contracts going overseas
IT and engineering contractors in the aerospace sector look set to benefit from a new £125m government fund to help prevent the loss of lucrative contracts to overseas competitors. The UK’s aerospace sector provides work for 100,000 people, many of them contractors, and contributes around £23bn to the UK economy. “The evidence is that the UK aerospace supply chain is losing work overseas,” says Business Secretary Vince Cable. “That’s why we announced a fund of up to £125 million to help reverse this trend and ensure that the sector can benefit from the massive growth that will take place in the global aerospace market over the next 20 years.”