Contracting sector disappointed with 2013 Budget
Contractors will feel few immediate benefits from the 2013 Budget, say leading contracting experts. Changes designed to help the UK’s small to medium sized enterprises (SMEs) will have minimal impact on contractors. In addition to the complete lack of measures designed to unleash the potential of the flexible workforce, Chancellor George Osborne failed to seize the opportunity to launch any kind of growth plans to address the dire macroeconomic picture. More...
Contractors get their first taste of ‘GAAR’ from HMRC
Contractors can access a new General Anti-Abuse Rule (GAAR) resource centre on HMRC’s website, which outlines in detail HMRC’s vision for the legislation. “The GAAR legislation defines what are, for its purposes, tax arrangements that are abusive,” says HMRC. The new legislation is due to come into force over the summer when the Finance Bill receives Royal Assent. In theory, avoidance schemes entered into by contractors before that date should not be covered by GAAR. However, HMRC does warn that, “Just because something isn't covered by the GAAR doesn't mean it won't be tackled in another way.” More...
Contracts and jobs surge by 12% month-on-month
The number of contracts and jobs grew by 12% in February 2013, when compared to the previous month. The latest Reed Job Index has reached an all-time high, which according to Reed.co.uk managing director Martin Warnes “provides further confirmation of robust and continued growth in the employment market”. In direct contrast to other labour force surveys, the only contracting discipline to make the top five by sector is construction and property. However, analysis shows that both IT and engineering roles also grew sharply during February. More...
Weekly paid contractors gain exemption from RTI until October 2013
Contractors paying themselves a weekly salary via their limited company won’t be required to adopt full Real Time Information (RTI) until October 2013. The exemption applies to companies with fewer than 50 employees, which applies to one or two person contractor limited companies but excludes all but the smallest umbrella companies and agencies. Contractors, or their accountant or payroll bureau, may still be required to file monthly salary RTI returns.
Marketing contractors’ prospects improve with rising global marketing budgets
Marketing contractors’ and interims’ prospects look set to improve as global marketing budgets begin to expand. The Global Marketing Index (GMI) showed “marketers in all regions reported a net increase in their budgets in March [2013]”. The index, compiled by WARC (formerly known as the World Advertising Research Center), “draws on data covering marketing budgets, trading conditions and staffing levels from a panel of 1,225 executives.” The index for Europe reached 50.5 during March, the “first net increase in budgets for 11 months”, signalling a possible return to confidence. More...
Energy contractors in engineering and construction receive new nuclear boost
Construction, engineering and IT contractors working in the energy sector received a boost following the decision to proceed with a new nuclear power station at Hinkley Point in Somerset. According to EDF Energy, the French energy company building the plant, up to 25,000 contractors will be required during the construction phase, with 900 longer-term operational roles being created. When complete, the power station will provide low-carbon energy to 5m homes, providing 7% of the UK’s total energy demand.
Green collar contractors to benefit from joined-up European renewables strategy
Green collar contractors specialising in the renewable energy sector should benefit from a more integrated renewables strategy being planned at a pan-European level. The European Union’s Energy Committee has acknowledged that energy infrastructure and market conditions are highly variable across Europe, which is proving to be a barrier to the wider adoption of renewables. It is calling for more investment capital to upgrade infrastructure and, if successful, the strategy may lead to more projects receiving the green light, and more contracts for green collar contractors. More...
Contractor numbers fall in the quarter to January 2013
Contractor numbers fell in the quarter to January 2013, reports the latest Labour Market Statistics from the Office for National Statistics. Total self-employment in the period from November 2012 to January 2013 fell to 4.179m, from 4.2m in the previous quarter, a drop of 21,000. Overall, unemployment increased slightly, although the overall employment rate also increased as fewer people were ‘economically inactive’ during the period. More...
Contractors endure “unacceptable levels of service” from HMRC
Contractors are “subject to unacceptable levels of service when they try to contact [HMRC] by phone or letter“. This is the conclusion of the latest report from the House of Commons Public Accounts Committee, published in the same week that HMRC has announced that it plans to close all of its customer contact centres. “Just how the department is going to improve standards of customer service, given the prospect of its having fewer staff and receiving a higher volume of calls, is open to question,” said MP Margaret Hodge, chair of the Committee of Public Accounts. More...