Contracting now mainstream, with one in five having been contractors or freelancers
Contractors and freelancers are becoming increasingly mainstream, according to the latest research from the Recruitment and Employment Confederation (REC). The recruiter body’s new report, Flex Appeal: why freelancers, contractors and agency workers choose to work this way, shows that over 40% of the UK’s workforce would consider temporary working. It also highlights that 36% of workers have already experienced temporary work – as agency workers (24%), contractors (10%) and freelancers (11%). More...
Self-employed contractor and freelancer numbers rises at record rate
The number of self-employed contractors and freelancers grew at a record rate in the quarter to the end of May 2014 to reach 4.58m, an increase of 78,000 on the previous quarter. Of those new self-employed 17,000 were full-time workers. “Over the last year, we’ve seen the rate of growth in self-employment rise at almost five times the rate of traditional employment to stand at a record high of 4.58 million,” notes PCG director of policy and external affairs Simon McVicker. “Unemployment also fell by 6.5%, thanks in no small part to the army of brave individuals making the choice to go it alone.” More...
Merging income tax and NICs could affect dividends and IR35
The potential merger of income tax and National Insurance Contributions (NICs) could increase tax on limited company contractors, but would most likely also remove IR35. According to Abbott Moore’s James Abbott, levelling the playing field between self-employed sole traders, partnerships and limited companies would result in a ‘tax gap’. As it is limited company contractors who benefit the most from the current system, they would probably have to foot the bill. The silver lining would be that IR35 would become irrelevant under these circumstances, considerably simplifying limited company contractors’ tax affairs. More...
Finance, accounting and IT contractors see financial sector contract surge in City
IT and financial contractors experienced a surge in new contracts in London’s financial centre during June 2014. The latest Morgan McKinley London Employment Monitor showed a 15% jump in the number of contracts and jobs on offer, compared to the previous month. “The overall flow of opportunities is still in favour of contractors,” confirms Morgan McKinley Financial Services operations director Hakan Enver. More...
Marketing and media contractors enjoy near record budget increases
Contractors in the marketing and media space, including new media and IT contractors, are benefitting from new contracts arising from near record marketing budget increases. The Institute of Practitioners in Advertising (IPA) Bellwether Report for the second quarter of 2014 shows the “second sharpest upward revision to marketing budgets in the survey’s 14-year history”. Marketing budgets continue to be revised higher, which will translate into new contracts and jobs. More...
New guidance for interim management contractors from IIM to help select agencies
Interim management contractors have new guidance from the Institute of Interim Managers (IIM) on selecting the best recruitment agency to win new contracts. “The guide will be particularly valuable for those interims and contractors taking their first steps into a contracting career,” believes ContractorCalculator CEO Dave Chaplin. The IIM’s Interim service providers survey and guide 2014 (5th edition) covers 80 of what it describes as the “finest interim service providers”. More...
UK contractor clients among the most confident in the global economy
Contractor clients based in the UK are among the most confident firms in the global economy, according to the results of Markit’s Global Business Outlook Survey. Recruiter reports that “UK companies are busily looking ahead to increasing spend on recruitment and investment in plants and machinery”. This upbeat attitude and intention to invest should directly result in more contracts for contractors across all core disciplines. More...
Group strengthens quality and compliance offered to contractors
Contractors may enjoy even higher levels of service quality and compliance following the appointment of new code reviewers by the Freelancer and Contractor Services Association. Independent code reviewers assess contractor service providers for compliance and quality standards. “We are a growing organisation, and it makes sense to increase our code assessors alongside this, and we also benefit from a broader pool of knowledge and expertise,” says chief executive Julia Kermode.
Contractors discover which schemes face HMRC accelerated payment notices
Contractors now know which registered tax avoidance schemes are on HMRC’s initial list for sending accelerated payment notices. Calum Fuller reports in an AccountancyAge article that 1,200 schemes have been identified by HMRC for the notices. Under the new accelerated payment rules, HMRC can demand disputed taxes up front from contractors and other taxpayers using avoidance schemes. Only if HMRC subsequently loses its case against the scheme promoter will the tax be refunded. More...
Contractors with Swiss bank accounts paid out £135m to HMRC
Contractors with Swiss bank accounts are among those taxpayers who have so far paid out £135m to HMRC. According to a Telegraph report, this follows the leaking of a list of the clients of HSBC bank’s private banking operation in Switzerland by a former employee. One UK taxpayer has been prosecuted and HMRC has sufficient data to pursue a further 3,800 individuals – which may include contractors – who had cash and assets held in Swiss accounts. More...